Trader loses $21M on Hyperliquid after private key leak: How to stay protected

A Hyperliquid trader lost $21 million in a private key exploit, raising new concerns about DeFi security and user vigilance amid growing DEX activity.

On Thursday, a single user on the decentralized trading platform Hyperliquid lost about $21 million after a private key leak led to an exploit involving the platform’s Hyperdrive lending protocol.

According to blockchain security company PeckShield, the attacker targeted 17.75 million DAI (DAI) and 3.11 million SyrupUSDC, a synthetic version of the USDC stablecoin used within Hyperdrive, and subsequently bridged the stolen funds to Ethereum.

PeckShield has not confirmed how the private key was compromised.

Read more