Initia halts blockchain and rollups after reported $2.6M exploit

Initia has halted its layer-1 blockchain and rollups after security researcher Spreek reported unauthorized token minting and approximately $2.6 million cashed out by an attacker. Summary Initia suspended its layer-1 network and rollups at 3:41:30 p.m. UTC on Oct. 23. Spreek estimated $2.6 million had been cashed out, with more funds still moving. The Defiant reported a later transfer of 1,135.5 ETH linked to the incident. Agora disputed the AUSD minting account, saying it has no smart contracts on Initia. Initia confirmed in its Oct. 23 statement that the suspension took effect at 3:41:30 p.m. UTC, with security teams, validators, and exchanges helping investigate the incident. The announcement identified a security incident but did not establish the amount lost or describe the underlying vulnerability. Initia confirms a network halt while investigators assess the damage The network team said it was working to establish the full scope of the impact, without listing affected applications, individual user losses or a schedule for restarting operations in the statement. “We will share verified information through our official channels as it becomes available.” Initia urged users to r...