Hyperbridge Exploit Mints 1B Fake DOT on Ethereum, Sparks Price Crash Now

• Hackers mint one billion fake DOT tokens, triggering sudden market collapse
• Exploit shifts contract control before massive token dump crashes price
• Polkadot unaffected as exchanges suspend DOT activity following bridge attack

A major exploit involving a cross-chain bridge triggered a rapid collapse in the value of bridged DOT tokens on Ethereum, after attackers minted a massive supply of unauthorized assets and released them into the market within a short timeframe. According to blockchain security firm CertiK, the breach originated from a vulnerability in Hyperbridge’s gateway contract, which allowed malicious actors to manipulate internal verification mechanisms and bypass critical security checks designed to prevent unauthorized minting.

According to CertiK, the attacker exploited this weakness to forge transaction messages and ultimately gain administrative control over the bridged token contract deployed on Ethereum, thereby unlocking the ability to execute privileged functions without detection. Consequently, the attacker minted one billion fake DOT tokens on Ethereum without any legitimate backing, and then proceeded to sell a significant portion of these tokens into the market, creating intense downward pressure on price levels.

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Additionally, blockchain analytics platform Onchain Lens identified irregular contract activity that aligned with the timeline of the exploit, further confirming that the attacker had successfully altered control permissions before initiating the minting process. According to Onchain Lens, ownership of the contract shifted to a malicious address, which then executed the token creation and rapid liquidation sequence that destabilized the market.

As a result, the price of bridged DOT on Ethereum plunged from approximately $1.22 to fractions of a cent within a very short period, as the sudden oversupply overwhelmed available liquidity and triggered widespread panic selling among holders. Meanwhile, available data indicates that the attacker secured an estimated profit of about $237,000 during the operation before exiting positions.

Hyperbridge breach isolates Ethereum DOT as Polkadot confirms limited impact

However, the broader Polkadot ecosystem remained unaffected by the exploit, as the incident was confined strictly to Ethereum-based representations of DOT that relied on Hyperbridge for cross-chain functionality. In an official update shared on X, Polkadot clarified that native DOT on its own network remained secure, while tokens bridged through other mechanisms did not experience any disruption.

Moreover, Hyperbridge operations have been temporarily halted while developers continue investigating the root cause of the vulnerability and assessing potential mitigation strategies aimed at preventing similar incidents in the future. Consequently, users holding bridged DOT on Ethereum currently face restricted activity as the situation develops and further technical reviews take place.

Despite the limited scope of the exploit, market sentiment around DOT weakened following the incident, with the native token declining by roughly 4% from around $1.22 to near $1.18 as traders reacted cautiously. Meanwhile, South Korean exchanges Upbit and Bithumb suspended DOT deposits and withdrawals as a precautionary measure, citing signs of a possible security concern linked to the incident.

The Hyperbridge exploit highlights persistent vulnerabilities within cross-chain infrastructure, particularly in systems that rely on complex contract interactions to facilitate asset transfers across networks. While Polkadot’s core network remained secure throughout the incident, the event underscores the importance of stronger safeguards and continuous monitoring within third-party integrations to maintain overall ecosystem stability.

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