Cronos Halts Network After Tectonic Exploit: $75M Borrowed via Price Manipulation

BitcoinWorld Cronos Halts Network After Tectonic Exploit: $75M Borrowed via Price Manipulation Cronos, the layer-one blockchain developed by Crypto.com, temporarily suspended network operations on [date] following an exploit on the ecosystem’s lending protocol Tectonic.

The attack resulted in approximately $75 million in crypto assets being illicitly borrowed, with around $6 million of those funds subsequently moved into Ethereum (ETH).

How the Exploit Unfolded On-chain analyst Weilin Li detailed that the attacker manipulated the price of TONIC, a low-liquidity token native to the Cronos ecosystem, inflating its value by roughly 100 times.

This artificially inflated collateral was then used to borrow approximately $75 million in various assets from the Tectonic protocol. The majority of the borrowed funds remained on the Cronos network, but a portion was bridged to Ethereum before the network halt was implemented.