Bearish
Cosmos Labs admits to misjudging vulnerability, leading to $5.7M hack across six blockchains.
Between August 20 and August 25, 2026, attackers exploited a critical vulnerability in Cosmos EVM, draining approximately $5.7 million from six blockchain networks. Cosmos Labs had received a report about this flaw in April but misclassified it as low risk, leading to a delayed patch. The exploit involved an integer underflow, allowing attackers to manipulate balances and steal funds from large holdings.
Key points
- Cosmos Labs acknowledged a misjudgment in assessing the severity of the vulnerability, resulting in significant financial losses across multiple blockchains.
- The delayed response to the reported flaw exposed critical weaknesses in Cosmos EVM's security protocols.
- Affected networks, including MANTRA and KiiChain, are working on recovery plans and have implemented additional security measures.
- The incident has prompted a broader review of security practices within the Cosmos ecosystem to prevent future exploits.
Sources
- Cosmos Labs says it wrongly cleared the bug behind a $5.7 million six-chain hackThe Block · August 29, 2026
- Cosmos EVM flaw drained $5.7 million from six blockchains in five daysTech Debrief · August 30, 2026
- Cosmos Labs Admits It Wrongly Cleared Bug Behind $5.7M Six-Chain HackNFT Signals · August 30, 2026
- Cosmos EVM Flaw Drained $5.72M Across Six Chains, Post-Mortem SaysDaily Crypto Briefs · August 29, 2026
AI-generated from public news sources. Not financial advice.
