Zilliqa exchange partner's cold wallet breached, ZIL theft under review
Security & Exploits ·
Zilliqa has disclosed that a cold wallet belonging to one of its exchange partners was compromised, with an unspecified quantity of ZIL taken by the attacker.
The network confirmed the breach and said the matter is now subject to an active investigation aimed at establishing how the intrusion occurred and how far its effects extend, according to wublockchain.xyz. Zilliqa indicated it is coordinating with relevant parties involved in the incident to trace the source of the compromise.
As an interim safeguard, Zilliqa has instructed exchanges broadly to suspend both deposits and withdrawals of ZIL. The intent behind this pause is to limit the attacker's ability to move or liquidate the stolen tokens through centralized trading venues while the situation is assessed.
Key details remain undisclosed: neither the identity of the affected exchange partner nor the exact amount of ZIL taken has been made public. That leaves the scale of the incident, and its potential market impact, unclear for now.
The report is corroborated by at least one other account describing the same event — tokens removed from an exchange's cold storage during a security breach — pointing to a consistent narrative across coverage of the incident.
Zilliqa, a blockchain network launched in 2017 and recognized as one of the earlier public chains to adopt sharding, has not indicated a timeline for resolving the investigation. Outstanding questions include which exchange was targeted, the total value of ZIL involved, whether the stolen tokens have moved on-chain, and when normal deposit and withdrawal activity might resume across affected platforms.