Bedrock Protocol Hit with $2M Security Exploit

Bedrock Protocol, a multi-asset liquid staking platform, has been hit by a security exploit resulting in losses of approximately $2 million. The incident occurred on September 27 and targeted uniBTC, a synthetic Bitcoin token used in decentralized finance. This breach is the third consecutive hack to affect the crypto industry, following high-profile incidents at BingX and Truflation.

The protocol confirmed the breach via a post on X, stating that the root cause of the exploit had been 'handled.' Bedrock assured users that all remaining funds were safe and plans to issue a reimbursement plan soon. A comprehensive reimbursement plan is being finalized, with a post-mortem report to follow.

The majority of losses occurred in decentralized exchange liquidity pools. However, Bedrock clarified that underlying wrapped BTC tokens and standard Bitcoin held in reserves remained secure. Launched in February 2023 by Singapore-based blockchain firm RockX, Bedrock offers synthetic representations of major blockchain tokens, including uniBTC, uniETH, and uniIOTX.