MANTRA Chain Halted Network and Froze Transactions After Attack

• MANTRA Chain has halted mainnet operations.
• The reason — an attacker exploited a vulnerability in a third-party dependency.
• The team has not yet disclosed the scope of the incident.
• The MANTRA token fell to an all-time low amid the attack.

On August 21, 2026, MANTRA Chain, an L1 blockchain for RWA, halted its mainnet as a precaution after detecting an attack that exploited a vulnerability in an upstream dependency. The team froze transactions and all access endpoints, and deposits and withdrawals of MANTRA tokens on affected platforms remain suspended while the investigation continues.

The MANTRA token reacted with a drop of more than 10% over the past day and is trading at its all-time low of $0.0044 at the time of writing, according to CoinMarketCap.

Initially, the team said it was determining the root cause and the scope of the event, and later confirmed that the attacker exploited a vulnerability in a third-party component used by the network.

The Team Is Preparing a Patch and Coordinating a Restart

MANTRA has already identified the vulnerability and moved to prepare a fixed version. During the update, the project’s own validators and infrastructure remain offline.

Bringing the network back online will require a coordinated restart involving a broader set of validators. MANTRA said it will not relaunch the blockchain until the fix has been validated and the team is ready to coordinate with other validators.

Separately, the project is tracking fund flows and staying in touch with exchange partners. For this reason, MANTRA operations on the affected platforms remain suspended until the network is restored.

The Scale of Attack Has Not Yet Been Determined

MANTRA has not yet disclosed the amount of potential losses and has not confirmed the final volume of assets that may have been affected by the attack. The team noted that the impact assessment is still ongoing.

Against the backdrop of the incident, issues affected several components of the MANTRA ecosystem:

• Public blockchain access endpoints
• MANTRA Chain validators
• MANTRA Bridge operations
• IBC relayers operated by MANTRA

The team urged users not to take any actions involving transactions whose consequences they do not understand, and to follow updates only through official channels. MANTRA also warned about potential scams offering to “recover” funds or provide assistance after the attack.

As of the latest update, the team continued testing the fix and preparing to restore MANTRA Chain operations. The project has not yet named a new deadline for restarting the network.

The incident highlights a distinct class of risks for blockchain infrastructure, where an attack occurs via a third-party software component on which the network depends. Similar issues have already surfaced in other crypto projects, including after a vulnerability was found in Zcash’s Orchard pool, which the team addressed by releasing the Ironwood update.

Another example of risk to critical blockchain components was the situation after Taiko’s network state verification mechanism was compromised, creating risks for its infrastructure and bridges.

A similar scenario involving the direct exploitation of a software vulnerability was previously observed after an attacker exploited a vulnerability in Aztec Connect’s verification mechanism and stole more than $2 million.

As a reminder, in the first half of 2026, the crypto industry faced more than 200 hacking attacks, a record figure for six months of observations:

Threat to DeFi: Crypto Market Was Hit by a Wave of Over 200 Hacking Attacks in Six Months — Report

04.07.2026

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