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Security

Cronos Blockchain Back Online After $74M Lending Exploit

A price-manipulation attack on the Tectonic lending protocol let a hacker drain tens of millions before the network was halted and restarted.

The Cronos blockchain, an Ethereum-compatible network backed by Crypto.com, has resumed normal operations following a security incident that let an attacker siphon roughly $74 million from the Tectonic lending platform.

According to reports, the attacker exploited a flaw allowing them to manipulate asset prices on Tectonic, tricking the protocol into approving oversized loans against undercollateralized positions. Once discovered, validators paused the chain to contain the damage and coordinate a response before bringing the network back online.

Details on whether funds will be recovered or reimbursed to affected users remain unclear, as does the exact root cause of the price oracle or lending logic failure.

Why it matters: Price-oracle manipulation remains one of the most common and costly attack vectors in DeFi, and a network-wide halt shows how centralized control still underpins supposedly decentralized systems during emergencies. For developers building on these chains, it's a reminder that lending protocols need robust, manipulation-resistant price feeds before real money is at stake.

Sources: BleepingComputer