Drift Protocol suspends deposits and withdrawals due to "abnormal" activity, suspected private key leakage causing losses of up to $200 million

CoinJie.com news: According to Cointelegraph, the decentralized exchange platform Drift Protocol, after detecting “abnormal” trading activity, has fully suspended deposit and withdrawal services and launched an internal investigation. Although the official has not yet disclosed the exact cause of the attack or the extent of the damage, blockchain security researcher Vladimir S noted that this incident is highly likely to have been caused by a leaked private key resulting from administrator signers being compromised or malicious activity carried out internally. He estimates that direct financial losses could be as high as $200 million. So far, the known stolen assets include wrapped Bitcoin (BTC), JTO, Fartcoin (FRT), and other crypto assets, as well as various fiat-backed stablecoins. The related funds have already been rapidly transferred to multiple on-chain wallets. Immunefi, a security organization, warned that the destructive impact of the hack far exceeds the funds themselves. Historical data shows that as much as 83% of native tokens of attacked platforms can never return to their pre-theft price levels. The ensuing sustained sell pressure, treasury depletion, and trust collapse often deliver an irreversible, far-reaching blow to the protocol’s fundamentals.