KEY INSIGHT
- H token crashed up to 90% after a foundation wallet’s private keys were compromised.
- Total losses are estimated to exceed $31 million, including market value wiped out during the sell-off.
- Humanity Protocol has advised users to avoid protocol services while the investigation continues.
Humanity Protocol’s H token plunged as much as 90% after attackers gained access to private keys belonging to a Humanity Foundation team member, triggering a major security breach and market sell-off.
The exploit reportedly affected multiple team-controlled wallets, resulting in direct losses of around $4 million. However, the broader impact pushed total losses beyond $31 million as the H token collapsed from recent highs near $0.80 to below $0.10 before partially recovering.
Following the attack, Humanity Protocol warned users not to interact with bridges, liquidity pools, or protocol services while the team works to regain control of affected multisig wallets.
Blockchain investigators found that stolen funds were quickly swapped into ETH and moved across multiple addresses. The incident has also raised questions about token concentration, security practices, and the timing of the exploit ahead of a scheduled token unlock.
Humanity Protocol, which uses palm-scan technology to create privacy-preserving digital identities, previously raised around $50 million from investors including Pantera Capital and Animoca Brands.
