THORChain pauses swaps after Ethereum reorg bug
BROBROK News · Based on reporting by Cointelegraph ·
THORChain stopped swaps across several chains after an Ethereum block reorganization exposed a refund flaw. Chainalysis said the emergency pause also slowed the movement of funds tied to the Binance hack.
Key points
- An Ethereum reorg removed a 10 ETH deposit that THORChain had already credited.
- The protocol refunded funds it had not actually received, then triggered an automatic pause.
- Swaps were paused on 10 networks, including BTC, ETH, SOL and TRX.
- Trading remained live on Avalanche, Base and XRP.
- Chainalysis said the pause disrupted laundering attempts linked to the Binance hack.
Why it matters
The incident highlights technical risks in cross-chain infrastructure, where chain reorganizations can create accounting mismatches. It also shows how protocol outages can affect the movement of stolen funds across DeFi rails.
Original headline: “THORChain halts swaps after block reorg bug, slowing Binance hackers”
Read the original on Cointelegraph
Summary and analysis written by BROBROK News from the original report. Read the full story on the source website. Not investment advice.