HECO Chain Bridge Compromised: Over $86.6 Million Sent to Suspicious Addresses

Blockchain security firm PeckShield has reported a significant security breach on the HECO Chain bridge, where more than $86.6 million in various digital assets, including stablecoins, ETH, SHIB, LINK, and more, were transferred to suspicious addresses. The security firm has identified this as an ongoing exploit, suggesting that the bridge is compromised.

In response to the incident, Justin Sun, the founder of Tron, announced that HTX (presumably referring to the HTX Eco Chain or HECO) will fully compensate users for any losses resulting from the hack. As a precautionary measure, deposits and withdrawals have been temporarily suspended while the company investigates the breach. Services are expected to resume once the investigation is completed.

The exploit was first highlighted by PeckShield when it detected a transaction involving the transfer of 10,145 Ether (ETH), valued at approximately $19 million, from the compromised bridge. Subsequent transactions involved the movement of various digital assets, such as USD Coin (USDC), Chainlink (LINK), and Shiba INU (SHIB), to other addresses.

HECO, officially launched on December 21, 2020, aims to provide a cross-chain experience with lower gas fees. It is a merger between Tron and BitTorrent’s bridge ecosystem, with Justin Sun integrating both ecosystems into HECO in 2022.

This incident marks the second recent exploit involving a project related to Justin Sun. On November 10, Poloniex, an exchange acquired by Sun in 2018, experienced a $100 million exploit, with security analysts suggesting that compromised private keys may have been a contributing factor.

By Urik

My professional background is in public relations and I am the founder of Cryptochating. My journey into blockchain technology started four years ago, and I haven't looked back since then. The future of decentralized technology is incredibly fascinating to me, and I am passionate about communicating how it will change the world.

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