Amid DPRK wallet allegations, Hyperliquid Labs denies vulnerabilities as HYPE token rebounds after a steep decline.
Photo: Hyperliquid
Key Takeaways
- Hyperliquid Labs denies any exploit or vulnerability linked to DPRK wallet activity, ensuring user funds are secure.
- HYPE token dropped over 25% from $34 to $25 but rebounded to $27 after Hyperliquid Labs addressed concerns.
Hyperliquid, a leading on-chain perpetual futures exchange, faced scrutiny after allegations emerged of North Korean-linked wallet activity on its platform.
Security expert Taylor Monahan of MetaMask reported that wallets connected to North Korean hackers had traded ETH on Hyperliquid, resulting in over $700,000 in liquidations.
“DPRK doesn’t trade. DPRK tests,” Monahan posted on X, suggesting the wallets were potentially probing for platform vulnerabilities.
The allegations triggered significant user withdrawals, with data from Hashed’s Dune Analytics dashboard showing more than $194 million in USDC withdrawn on Monday.
Hyperliquid Labs rejected the claims through statements on their Discord channel.
“Hyperliquid Labs is aware of reports circulating regarding activity by supposed DPRK addresses,” the team stated. “There has been no DPRK exploit — or any exploit for that matter —