Hedera’s Mainnet Shutdown Sparks Panic: HBAR Drops 18%

• Hedera’s recent security breach caused panic on Crypto Twitter.
• Hedera blockchain wallets are showing zero balance for investors.
• HBAR dropped 5.5% in the last 24 hours and 18% since last week.

The emerging open-source public blockchain Hedera (HBAR) officially halted its mainnet after a hacker managed to hack the smart contract and drain numerous wallets. According to the latest statement on Hedera’s official Twitter, the fraudster exploited the smart contract service of Hedera’s mainnet.

Further, the hackers took the wallets in liquidity pools on DEXs as the primary target. Millions of Hedera (HBAR) tokens were siphoned and bridged via the Hashport Network. However, the bridge operators managed to spot suspicious transactions quickly and disabled them shortly after.

$570,000 Stolen by Hackers

The open-source ledger representatives also mentioned that the mainnet had been turned off “to prevent the attacker from being able to steal more tokens.” That way, the hacker cannot connect to the mainnet, but the issue is far from resolved. This has caused the blockchain’s native token HBAR to plunge 18% in the last seven days. At press time, Hedera (HBAR) trades at $0.058, according to CoinGecko.

According to the CertiK crypto analytics protocol, the hackers got away with $57,000 in Hedera (HBAR) tokens. The developer team behind Hedera is actively looking for a solution to the security breach. According to the rescue plan, “Hedera Council members will sign transactions to approve the deployment of updated code on mainnet to remove this vulnerability”.