KiloEx experiences a $7.5 million loss due to a cyberattack, prompting a halt in services and raising concerns within the cryptocurrency community. The attack was initiated through suspicious transactions detected by Cyver, leading to a confirmation of the vault compromise by KiloEx. The response includes a bounty programme for asset recovery and highlights ongoing security challenges faced by the industry overall.
KiloEx has suffered a significant cyberattack resulting in a loss of $7.5 million, disrupting services and raising alarms within the cryptocurrency community. On April 14, 2025, the blockchain analysis firm Cyver alerted officials to unusual transactions involving the KiloEx_perp protocol across various chains, thereby initiating a major security incident.
The hackers exploited vulnerabilities in the BNB, Base, and Taiko chains, transferring around $7 million illicitly by utilising an address funded through TornadoCash. By April 15, KiloEx confirmed the breach, revealing that their vault had indeed been compromised during this cyber heist.
In a public announcement via X, KiloEx informed users of the exploit and disclosed the attacker’s wallet address (0x00fac92881556a90fdb19eae9f23640b95b4bcbd) to aid in blocking further access. This proactive measure sought to assist partner platforms in preventing additional damage from the rogue account.
Investigations indicate that the stolen funds were laundered through zkbBridge and Meson, both protocols collaborating with KiloEx to curb the hacker’s transactions and limit the overall losses. Given KiloEx’s considerable standing in the market, with a trading volume of $38 billion, halting services presents a serious disruption to the decentralised derivatives sector.
In response, KiloEx has introduced a bounty programme aimed at recovering the stolen amount, also prioritising user assurance and minimisation of damage as a means of defending their reputation. The current landscape reflects a concerning trend, with over $2 billion lost in cyberattacks across the sector in 2025 alone, emphasizing the urgent need for enhanced security protocols and regulatory frameworks.
Despite this turmoil, the cryptocurrency market appears relatively stable, currently valued at $2.07 trillion, with Bitcoin trading near $85,457 showing some resilience. However, underlying sentiments are wary, with the crypto fear and greed index sitting at 31, demonstrating diminished trust in previously stable platforms.
Ultimately, the KiloEx incident underscores a critical message: security vulnerabilities are a growing challenge in the cryptocurrency industry. As innovation progresses, addressing issues of security and user trust is imperative for the future of the sector, with stakeholders closely monitoring KiloEx’s recovery efforts.
