Thorchain halts trading after $10 million cross-chain exploit, RUNE token drops 12%
Thorchain, a decentralized cross-chain liquidity protocol, has suspended all trading operations following a security exploit that drained approximately $10 million from the platform. The attack targeted the protocol's cross-chain bridge infrastructure, prompting developers to immediately halt network activity to prevent further losses. RUNE, Thorchain's native token, plummeted 12% in immediate response to the news, trading down from $4.23 to $3.72 within hours of the announcement.
The exploit represents another significant blow to Thorchain, which has previously suffered multiple security breaches since its mainnet launch. The protocol enables users to swap cryptocurrencies across different blockchains withoutWrappedTokens or synthetic assets, making it a popular but complex decentralized finance (DeFi) application. Cross-chain bridges have become frequent targets for hackers due to their technical complexity and the large amounts of capital they typically hold in smart contracts.
The incident adds to growing concerns about cross-chain protocol security across the broader DeFi ecosystem. Several major bridge exploits in recent months have resulted in combined losses exceeding hundreds of millions of dollars, highlighting persistent vulnerabilities in cross-chain infrastructure. The Thorchain hack could further dampen investor confidence in cross-chain protocols and prompt additional security audits across similar platforms.
Thorchain developers have not provided a timeline for resuming operations, stating they are conducting a comprehensive security review. The team plans to release a detailed post-mortem analysis once their investigation concludes.
Source: CoinDesk
