Cronos Blockchain Halted After $75M Tectonic Attack

The Cronos blockchain was halted on Sunday after an attacker attempted to drain Tectonic, the largest lending protocol on the network. The attack is believed to have been worth around $75 million, with most of the funds remaining stuck on the chain.

Crypto.com's app and exchange were unaffected by the incident, according to Crypto.com CEO Kris Marszalek. However, Tectonic depositors are another matter, as the protocol held approximately 46% of all DeFi value on the chain, or around $121.6 million, at the time of the attack.

The Cronos team has confirmed that they have identified the exploit and halted block production to prevent further losses. The decision to halt the blockchain may be due to its architecture, which runs on Tendermint with a cap of 100 validators, making coordinated action possible.