Multichain Protocol Experiences Mysterious Withdrawals, Suggesting Multi-Million Dollar Hack or Rug Pull

July 11, 2023

On July 6, 2023, cross-chain bridge protocol Multichain experienced unusually large, unauthorized withdrawals in what appears to be a hack or rug pull by insiders, leaving many ecosystem participants perplexed. Unauthorized withdrawals from MultichainMore than $125 million worth of cryptocurrency was withdrawn from Multichain, with nearly $120 million of that total coming from Multichain’s Fantom bridge. It is possible that the attacker gained control of Multichain’s MPC keys in order to pull off this exploit. In total, addresses frozen by the two stablecoin issuers hold approximately $65 million in assets stolen from Multichain. We have labeled all addresses relevant to the Multichain hack in Chainalysis products and will continue to provide updates on the situation when possible.