SAND Bridge Exploit Compensation Plans Unveiled by The Sandbox

The Sandbox has announced that it will compensate users who had their SAND tokens frozen due to a bridge exploit on August 21, 2026. The attack allowed an attacker to mint unbacked tokens in astronomical quantities, with over 339 trillion SAND tokens being created across both the Base and BNB Smart Chain networks.

The actual damage from the attack is relatively small, with around 14.74 million SAND tokens being drained from Ethereum's holding, worth approximately $700,000. This represents just under 0.5% of the maximum supply of three billion SAND tokens.

User claims will be processed through newly deployed contracts at different addresses, and The Sandbox has announced that it will pay out the frozen balances in full, one for one, as SAND on Ethereum. Users who held their SAND at a centralised exchange do not need to file a claim, but those who self-custodied their tokens must restore access to the old address before the claim window opens.