Vulnerability in L2 Network Taiko: Hacker Compromised Verification Mechanism and Stole $1.7 Million
On June 22, the team behind the second-layer solution Taiko officially confirmed the compromise of the blockchain state verification mechanism. This event immediately called into question the security of all bridges deployed within the network's ecosystem.
Developers stated that bridge protocols on Taiko can no longer be trusted and strongly recommended that users withdraw their funds as soon as possible. The project is currently coordinating with the security council and key partners to contain the incident. Additionally, the team has asked centralized exchanges to suspend deposits of the TAIKO token until further official notice.
Scale of the Attack and Market Reaction
According to data from the analytical platform Lookonchain, the damage from the hack is estimated at approximately $1.7 million. The hacker stole native TAIKO tokens and various "wrapped" ETH. Part of the stolen funds — about 1.99 million TAIKO ($189,000) — has already been deposited on the MEXC exchange. At the time of writing the analysis, the attacker held 870.8 ETH (approximately $1.52 million).
The market reacted instantly: within 24 hours, the TAIKO coin dropped by 11%, falling from $0.09 to $0.07. The 15-minute TAIKO/USDT chart on the HTX exchange shows a sharp decline following the news of the hack.
It is also worth noting that this is not the first incident of its kind in recent days. On June 19, the blockchain project Axelar disclosed a bridge hack involving the Secret Network protocol, where the attacker siphoned off about $4.67 million by exploiting an "infinite mint" vulnerability. Both cases highlight the ongoing risks to cross-chain bridge infrastructure.
Expert commentary from Cryptalist: This incident at Taiko is yet another reminder that the security of L2 solutions and their bridge protocols remains the Achilles' heel of the entire ecosystem. While teams focus on scaling, vulnerabilities in state verification mechanisms can lead to catastrophic losses. Investors should reassess their risks when using new bridges and wait for a full security audit.