Crypto Hack: Layer-1 Protocol Saga Halts EVM Chain After $7M Exploit

The Layer-1 protocol Saga has had to halt its network operations after it experienced a crypto hack on its SagaEVM chain, resulting in a loss of millions of dollars. The incident led to an investigation and a recovery attempt by the system’s team.

Saga Suspends EVM Network After Crypto Hack

In a blog post, the organization stated that they are shutting down their EVM chain network in response to an exploit that they encountered recently, which is currently under investigations. They verified that an unauthorized withdrawal of about $7 million in USDC occurred, which was bridged and converted to ETH.

“Out of an abundance of caution, the SagaEVM chain was paused at block height 6593800 while the issue is actively being investigated and mitigated,” they said.

TAs per the report, the crypto hack is a sequence of activities involving the movement of liquidity. The attacker uses the sequence to withdraw the funds effortlessly. According to the group, exchanges are being worked with to ensure the funds do not move to aid in the retrieval of the funds.

This follows a series of hacks, including a Binance market maker hacking incident that occurred at the start of the year. In this instance, a trader accumulated a profit of $1 million through vulnerabilities in account security. They also manipulated the BROCOLLI token price.

The group also stated that the crypto hack did not affect its major infrastructure. This includes its SSC mainnet, protocol consensus, and validators. They highlighted that no compromise was found in these systems.

Hack-Related Losses Hit $3.4 Billion in 2025

Chainalysis reported that at least $3.41 billion was lost in the year 2025. This was a slight increase from the $3.38 billion worth of exploits 2024 saw.  They also highlighted that attacks on personal wallets of investors jumped significantly in 2025.

The numbers surged from 7.3% in stolen value to 44%. Direct crypto wallet drain incidents numbered around 158,ooo with around 80,000 distinct victims.

One of the unique examples of this type of case is the Trust Wallet crypto hack that took place at the end of last month. These investors had their account balance drained unexpectedly over time. This happened when the wallet team made some changes to the app. Bitcoin, Ethereum, and BNB were the primary cryptocurrencies that were stolen at that time.

On the other hand, the government has continued to crack down on entities that are responsible for such crimes. It was not too long ago that the Indian police arrested a person of interest for the $400 million Coinbase hack. The CEO of the exchange commended such moves as they aim to reduce such occurrences.