Initia Exploit Wallet Moves 1,135 ETH Five Seconds After Halt

An Ethereum wallet linked by Initia to the exploit sent about 1,135.5 Ether (ETH), worth roughly $2.7 million, to a new wallet at 11:41:35 a.m. ET Friday, Oct. 23 (15:41:35 UTC), five seconds after the project halted its Layer 1 and rollups.

Initia announced the shutdown at 11:41:30 a.m. ET after identifying a security incident. In a later update, the project attributed the exploit to a MoveVM script-caching flaw that bypassed security checks and created unbacked balances in WETH, iUSD and USDC.

The project said roughly $2.7 million in assets were bridged to Ethereum before the halt, then swapped for 1,135.52 ETH. The receiving wallet showed no outgoing transfer and retained about 1,135.5 ETH as of 2:52 p.m. ET Friday.

Initia said no native INIT was minted, leaving its total supply unaffected. It said asset recovery was underway and expected a security fix to be completed and audited in a few days.