Initia Suspends L1 After Finding Unauthorized Transfers From Escrow Accounts, Preliminary Losses of About $605,000

November 10: Initia said in a post on X that Initia L1 was paused in coordination with validators at 14:18 (Beijing time) on November 10 as a protective measure. Previously, Initia discovered unauthorized transfers from escrow accounts holding assets bridged to multiple Rollups. A preliminary investigation shows the attacker used compromised Rollup infrastructure keys to forge IBC transfers.

Initia's preliminary review indicates that, before the network was paused, about $605,000 in USDC and another $10,000 in tokens left Initia via Noble. Most of the remaining assets transferred out of the escrow accounts are still on the paused L1. Initia is working with security teams, validators and exchanges to determine the full scope of the incident, will release more details later, and reminds users to be wary of unofficial links and messages.