Hacking News
Initia Halts Blockchain and Rollups After Exploit
Initia, a blockchain project, halted its layer-1 blockchain and connected rollups on October 23 after an attacker allegedly exploited a token-minting flaw. The attacker converted unbacked tokens into Ether (ETH) and drained assets from several bridge adapters, highlighting a risk in cross-chain bridges. The incident involved the creation of unbacked AUSD tokens and the unauthorized release of 1.4 million AUSD from an adapter on Ethereum, with the attacker subsequently swapping the stablecoins for Ether (ETH) and consolidating the funds in a new wallet.