Update (April 26 at 8:57 PM UTC): This article has been updated to include updates from the loopscale.
Solana Decentralized Finance (DEFI) Protocol Loopscale temporarily halted the markets from its lending after suffering approximately $ 5.8 million exploitation.
On April 26, a hacker stopped approximately 5.7 million USDC (USDC) and 1200 Solana (SOL) from the Lending Protocol after taking a “Undercollateralized Loan series”, loopscale co-founder Mary Gooneratne Says In an x post.
The loopscale has since “re-enabled loan payments, top-ups, and loop closure”, but “[a]Other app operating (including vault removal) are temporarily restricted as we investigate and ensure alienation of this exploitation, ”Loopscale Says In a post of April 26 x.
The exploitation affects only the USDC and Sol Vaults of the loopscale and the losses represent around 12% of the total loopscale's total locking loopscale (TVL), Gooneratne added.
“Our team is fully transferred to investigate, recover funds, and ensure users are protected,” Gooneratne said.
In the first quarter of 2025, hackers stole more than $ 1.6 billion worth of crypto from exchanges and on-chain smart contracts, security firm Peckshield said in an April report.
More than 90% of these losses have been linked to a $ 1.5 billion attack on the Bybit, a centralized cryptocurrency exchange, through the North Korean hacking outfit Lazarus Group.
Related: The Crypto Hacks Top $ 1.6B in Q1 2025 – Peckshield
DEFI's unique lending model
Launched on April 10 after a six -month closed beta, the loopscale is a Defi Lending Protocol designed to enhance the efficiency of capital by directly matching lenders and loans.
It also supports specialized lending markets, such as “structured credit, financing, and undercollateralized lending,” Loopscale said in an April announcement shared with cointelegraph.
The loopscale order book model distinguishes it from defi lending peers such as AAVE that combine cryptocurrency deposits in pool pools.
The main USDC and sol vaults of the loopscale produce APRs of over 5% and 10%, respectively. It also supports lending markets for tokens such as Jitosol and Bonk (Bonk) and looping techniques for up to 40 different tokens pairs.
The Defi Protocol has approximately $ 40 million on TVL and attracts up to 7,000 lenders, According to In the researcher that is hornetwork.
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