Huma co-founders disclose early liquidity provider wallets were hacked, approximately 12 million HUMA tokens dumped.

On November 12, Huma co-founder Richard Liu posted on X addressing recent HUMA price volatility, stating the team was surprised by the drop exceeding expectations and has launched an investigation.

The investigation found that on October 22, a wallet belonging to an early liquidity provider (LP) was hacked, resulting in the sale of approximately 12 million HUMA tokens acquired through an airdrop. Meanwhile, from November 2 to 7, HUMA's total open interest across markets increased from around 620 million to 1.1 billion tokens. Perpetual contract trading volume reached 7 to 10 times that of spot trading, and the funding rate has remained negative since November 4.

Richard Liu emphasized that the Huma Foundation and its affiliated entities have not participated in any HUMA trading over the past three months, nor do they plan to sell tokens during the upcoming unlock period. There is currently no evidence suggesting misconduct by partnered market makers. The team plans to hold an AMA around November 19 to 20 to address community questions.