News

Another Stablecoin Crash; This Time Its On Solana (SOL)

Published by
Another Stablecoin Crash; This Time Its On Solana (SOL)

On July 28th, Solana-based decentralized finance protocol Nirvana Finance confirmed on twitter that it suffered a flash loan attack for USD 3.5 million which immediately led to the nosedive of its native token ANA and stablecoin NIRV.

Advertisement

Another dollar pegged stablecoin destabilizes

Crypto analytics firm Packshield, had first confirmed the exploit, the attacker used a $10 million USDC fast loan to acquire $13.5 million profit in ANA. This swift attack subsequently led to the plunge in value of ANA and NIRV.

This exploit has led ANA to lose over 83% of its value in 24 hours to trade at $0.85, from over $8 just few days ago while Nirvana’s dollar-pegged stablecoin NIRV depegged and fell by more than 90% and now trades at less than a cent in the past, according to CoinMarketCap.

According to reports, crypto analysts had already predicted this event which is now likened to the TERRA/LUNA catastrophe. Mainly because of the lack of liquidity, the prior price of ANA was bound to swiftly decrease to the floor price, which would then be decided by an agreement between ANA and its investors.

Advertisement

Nirvana Finance willing to halt investigations if hacker returns stolen fund and takes $300,000 bounty

Nirvana, which is the first native computing stable currency project on the Solana chain and which operates a dual-currency system, has appealed to the hacker who exploited its system. Its currencies ANA and NIRV are well on their way to zero. It wrote to the attacker on Twitter,

Please be aware your CEX connected wallet has been flagged and we are working with a variety of resources to uncover your identity, recover the stolen funds, and make our community whole.In recognition of your discovery of a vulnerability in our protocol, we are willing to offer a white hat bounty of $300,000 and a cessation of investigation.

The protocol also relayed that it was the yield protocol that was exploited, and it wasn’t a fault of Solend.

Advertisement

Share
Abigal Vee

Abigal .V. is a cryptocurrency writer with over 4-years of writing experience. She focuses on news writing, and is skilled in sourcing hot topics. She’s a fan of cryptocurrencies and NFTs.

Published by
Why trust CoinGape: CoinGape has covered the cryptocurrency industry since 2017, aiming to provide informative insights to our readers. Our journalists and analysts bring years of experience in market analysis and blockchain technology to ensure factual accuracy and balanced reporting. By following our Editorial Policy, our writers verify every source, fact-check each story, rely on reputable sources, and attribute quotes and media correctly. We also follow a rigorous Review Methodology when evaluating exchanges and tools. From emerging blockchain projects and coin launches to industry events and technical developments, we cover all facets of the digital asset space with unwavering commitment to timely, relevant information.
Investment disclaimer: The content reflects the author’s personal views and current market conditions. Please conduct your own research before investing in cryptocurrencies, as neither the author nor the publication is responsible for any financial losses.
Ad Disclosure: This site may feature sponsored content and affiliate links. All advertisements are clearly labeled, and ad partners have no influence over our editorial content.

Recent Posts

  • News

Will Bitcoin Rally as JPMorgan Tips Fed To End QT at FOMC Meeting?

Bitcoin traders are turning their attention to this week’s Federal Open Market Committee (FOMC) meeting.…

October 26, 2025
  • News

White House Crypto Czar Backs Michael Selig as ‘Excellent Choice’ To Lead CFTC

White House crypto czar David Sacks has shown his support for Donald Trump's nomination of…

October 25, 2025
  • News

Ripple Explores New XRP Use Cases as Brad Garlinghouse Reaffirms Token’s ‘Central’ Role

Crypto firm Ripple has revealed that it is exploring new ways to use XRP within…

October 25, 2025
  • News

Kyrgyzstan Adds Binance Coin (BNB) to National Crypto Reserve, CZ Confirms

Kyrgyzstan has made a significant move in the adoption of digital finance. It has now…

October 25, 2025
  • News

Ripple-Backed Evernorth Grows XRP Treasury to $1B Ahead of Nasdaq Listing

Ripple-backed Evernorth's XRP treasury has grown to $1 billion just days after the company announced…

October 25, 2025
  • News

Trump Tariff Tensions Ease as U.S. and China Hold Positive Trade Talks Ahead of Oct 30 Summit

In fresh developments, the United States and China’s trade teams have commenced negotiations on the…

October 25, 2025