NEAR Protocol Price Crashes 8.3% After $3.8M Exploit Hits Cross-Chain Engine

A NEAR Protocol price crash of 8.3% occurred after the cross-chain engine, NEAR Intents, was hit by an exploit that drained over $3.8 million. The team quickly identified a bug in its Omni deposit and withdrawal system, which was isolated to USDT on BSC, and immediately patched the issue.

Co-founder Illia said the incident was a 'wake-up call' and that the project will roll out a formal verification system for its contracts to prevent similar bugs in the future. The team has promised full reimbursement to every affected user.

Despite the price drop, NEAR ETF products still pulled in $8.08 million in daily net inflows on October 1, according to SoSoValue data. The incident highlights the need for robust security measures in the crypto space, where attacks are becoming increasingly sophisticated.