Cronos Halted After $75M Tectonic Exploit Traps Most Suspected Funds
Cronos Network has halted block production after an estimated $75 million Tectonic exploit. This move suspended on-chain transfers, bridges, and smart-contract activity across the ecosystem, including services unrelated to Tectonic.
The attack involved a pump-and-borrow strategy using TONIC, Tectonic's governance token. The attacker inflated the price of TONIC by 100-fold within 20 minutes and used the repriced tokens as collateral to withdraw valuable assets from lending pools.
The majority of the suspected funds remain trapped on-chain, with approximately $60 million stuck in one Cronos address and another suspected address holding around $8 million. The attacker managed to bridge out only about $6 million to Ethereum before block production stopped.