The Hacken Token (HAI) experienced a catastrophic 99% price collapse following a security breach that enabled the theft of $250,000 worth of tokens.
The incident occurred during an architectural upgrade to Hacken’s cross-chain bridge infrastructure, where a private key compromise allowed attackers to mint unauthorized tokens and drain funds from the ecosystem. This exploitation triggered massive sell pressure, erasing nearly all token value within hours.
Hacken confirmed it revoked the compromised minter account and regained administrative control over the token contract post-breach. However, the perpetrator successfully escaped with all stolen assets, leaving investors with significant losses.
The breach highlights persistent vulnerabilities in decentralized network upgrades. In response, Hacken announced plans to convert HAI into a regulated security token representing equity in the company, establishing a token swap mechanism for affected holders.
This exploit reflects wider security deficiencies across crypto ecosystems, amid reports of $1.63 billion stolen via thefts during the year’s first quarter. Analysts emphasize the urgent need for fortified security protocols during infrastructure transitions.