AFX Trade Suffers $24 Million Security Breach Amid Decentralized Trading Risks

A decentralized trading platform called AFX Trade has been hit by a security breach, resulting in the loss of approximately $24.15 million in USDC on July 22, 2026.

The incident occurred when an attacker obtained access to validator signing keys used by the AFX-operated bridge, allowing them to withdraw the funds from Arbitrum and exchange them for roughly 12,467 ETH on Ethereum.

Audit reports indicate that the breach was isolated to a USDC custody bridge operated by AFX Trade, rather than the native Arbitrum bridge or the wider network.