The Port3 Network experienced a catastrophic decline of 90% in its token value after a significant exploit was discovered in its cross-chain bridge system. This incident unfolded overnight, leading to a dramatic minting of approximately 1 billion unauthorized tokens, resulting in a swift market reaction.
Hackers capitalized on a vulnerability within the “BridgeIn” function, which lacked adequate signature verification and checks. This flaw allowed the attackers to mint an excessive number of tokens, undermining the integrity of the PORT3 ecosystem. Following the exploit, around 162.75 million of these tokens were sold, netting the attackers roughly 199.5 BNB, and causing the price to plummet from $0.03 to $0.0066.
In response to the exploit, major exchanges, including Bybit, halted trading activities to mitigate losses and protect user assets. The Port3 team took immediate action by removing on-chain liquidity to prevent further price manipulation and initiated a post-mortem recovery plan.
Bridge Vulnerability and Market Impact
The vulnerability in the bridge function stemmed from a lack of proper security measures, including the contract owner address being set to zero, which facilitated the unauthorized minting process. The aftermath saw a drastic reduction in market cap, dipping below $5 million as panic set in among investors.
In total, around 837 million of the minted tokens were subsequently burned, which helped slightly stabilize the price, bringing it to approximately $0.013. However, this recovery was only partial, reflecting ongoing market uncertainty regarding the future of the Port3 Network.
Analysts on social media platforms underscored this incident as a classic case of bridge vulnerability risks, citing the combination of poor contract design and unverified chain registrations as key factors that left the ecosystem open to exploitation.
Community Response and Future Safeguards
Post-exploit discussions within the community have emphasized the importance of risk management for decentralized finance (DeFi) users. Recommendations included diversifying holdings across different wallets and exercising caution with bridges that have low liquidity.
The Port3 team has confirmed that investigations into the exploit are ongoing, and a comprehensive post-mortem report is anticipated. While liquidity remains partially removed to avoid immediate market manipulation, the focus is on improving the security of the bridge system and ensuring robust smart contract audits.
Community members are advised to keep an eye on official channels for verified updates as the team works on a recovery plan and additional safeguards to prevent similar incidents in the future.
