Shiba Inu Freezes 4.6M BONE Tokens After Shibarium Bridge Hack as Price Soars 41%

ChainAffairs
Shiba Inu (SHIB)

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  • Shiba Inu froze 4.6M BONE tokens after a flash loan exploit on the Shibarium bridge.
  • Security audits, staking pause, and multisig protections were deployed.
  • BONE price surged 41% as investor confidence rebounded.

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The Shiba Inu development team has frozen 4.6 million BONE tokens following a security breach on the Shibarium bridge. The incident began when blockchain security firm PeckShield flagged suspicious transactions, prompting lead developer Kaal Dhairya to investigate. Attackers allegedly executed a flash loan exploit to acquire the BONE tokens by compromising validator signing keys, temporarily gaining majority control over the bridge.

Because the stolen tokens were staked with Validator 1, they were locked and could not be withdrawn—giving the team enough time to freeze them. Staking functions were temporarily paused while the team moved stake manager funds into a multisig-secured hardware wallet and began a full audit of validator key integrity.

Shiba Inu Team Negotiates While Bolstering Security

To prevent further damage, Shiba Inu enlisted security firms Hexens, Seal 911, and PeckShield to assist with the investigation, while also notifying authorities. In an unusual move, the team offered to negotiate directly with the attacker, pledging not to press charges and even offering a bounty if the stolen tokens are returned.

The emergency freeze helped calm immediate fears in the community. BONE’s price rebounded sharply, surging 41% in the past 24 hours as investors welcomed the swift action.

Shibarium Bridge’s Central Role in Shiba Inu’s Ecosystem

The Shibarium bridge is a cornerstone of Shiba Inu’s Layer-2 ecosystem, enabling cross-chain transfers of SHIB, BONE, and LEASH between Ethereum and Shibarium. The bridge reduces gas fees and boosts transaction speeds, supporting the project’s expansion into DeFi, gaming, and metaverse applications.

Also Read: Shiba Inu LEASH V2 Migration: Secure, Audited, and Phased Upgrade for Holders

In parallel, Shiba Inu developers are preparing to launch LEASH V2 through a fixed-ratio migration and recently upgraded ShibaSwap to improve multi-chain trading and liquidity management.

Swift Response Restores Market Confidence

While the investigation continues, Shiba Inu’s rapid response has helped stabilize sentiment around BONE and the broader ecosystem. The freeze of 4.6 million BONE underscores the team’s focus on safeguarding user funds as they continue expanding Shibarium’s reach.

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Disclaimer: The information in this article is for general purposes only and does not constitute financial advice. The author’s views are personal and may not reflect the views of Chain Affairs. Before making any investment decisions, you should always conduct your own research. Chain Affairs is not responsible for any financial losses.

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