Ethereum Layer 2 Taiko Urges Users to Withdraw Funds From Bridges, Confirms Security Breach
Ethereum layer 2 blockchain Taiko has urged users to withdraw their funds from all bridges deployed on the network immediately following a confirmed security breach involving its chain state verification mechanism. The team announced they are working with the Security Council and ecosystem partners to contain the incident, pause affected systems where possible, and pursue both technical and legal actions. As of now, no details have been released regarding the exact amount of funds at risk or whether any funds have been stolen. According to blockchain security firm PeckShield, the exploit resulted in a loss of approximately $1.7 million, with the attacker transferring 1.99 million TAIKO tokens (worth around $189,120) to the MEXC exchange. The incident highlights ongoing security challenges in the layer 2 ecosystem, where bridge contracts remain a common target for attackers. Taiko has not yet provided a timeline for resolving the vulnerability or restoring trust in the affected bridges.