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BTC $74,813.30 +0.24%
ETH $2,337.94 -0.58%
BNB $631.25 +1.45%
XRP $1.43 +1.96%
SOL $88.26 +3.93%
TRX $0.3267 +0.24%
DOGE $0.0982 +3.41%
ADA $0.2561 +4.30%
BCH $453.19 +2.92%
LINK $9.46 +2.40%
HYPE $43.83 -1.46%
AAVE $113.66 +7.23%
SUI $0.9935 +3.68%
XLM $0.1669 +5.38%
ZEC $341.23 -0.43%

egg

Saga paused its on-chain operations after losing $7 million in an attack, and the stablecoin depegged to $0.75

Layer-1 blockchain protocol Saga has urgently paused its Ethereum-compatible Saga EVM chainlet after experiencing an attack that resulted in a loss of approximately $7 million. The attack led to unauthorized funds being cross-chain transferred and exchanged for ETH, causing its dollar-pegged stablecoin, Saga Dollar, to de-peg, with the price dropping to as low as $0.75. The Saga team stated that the chain was paused at block height 6,593,800.Preliminary investigations indicate that the incident involved a series of contract deployments, cross-chain operations, and liquidity withdrawals, but there was no consensus failure, validator compromise, or private key leakage; the overall structure of the Saga mainnet remains secure. The impact was not limited to Saga Dollar; its stablecoins Colt and Mustang were also affected. The team has identified the addresses involved in the attack and is working with exchanges and cross-chain bridges to blacklist these addresses. The chain will remain paused until a complete security audit and post-mortem analysis are published.On-chain data shows that Saga's TVL plummeted from approximately $37 million to $16 million within 24 hours, a decrease of about 55%. Some security researchers speculate that the attack may be related to the "infinite minting" of stablecoins using cross-chain mechanisms, while others believe that the possibility of private key leakage cannot be ruled out, but the officials have not yet confirmed the specific attack vector.
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