Updated: 2026-05-24
- The attack resulted in the European stablecoin issuer StablR losing $13,5 million in funds.
- A hacker compromised just one private key to a multi-signature wallet and gained administrator rights.
StablR, a well-known European stablecoin issuer, suffered a devastating attack this past weekend. The attacker managed to compromise the protocol’s governance structure, issuing millions of unbacked tokens and causing the stablecoin to de-peg from both the euro and the US dollar.
The attack began on Saturday evening and was first reported wrote famous Block-detective Zach XBT. On According to Blockchain security company Blockaid believes the root cause of the hack was not a bug in the StablR smart contract code, but a serious vulnerability in key management.
Multi-signature failure 1 of 3
The attacker compromised one private key belonging to a signatory in a StablR wallet used to create multi-signatures. The unfortunate fact is that only one compromised key was needed to gain full administrative control.
After gaining control, the attacker acted quickly:
- Added myself as an official administrator.
- Removed and replaced existing legal owners.
- Generated 8,35 million USDR and 4,5 million EURR, which in total is approximately $13,5 million.
The attacker then sold the newly minted assets on various decentralized exchanges (DEXs). Despite significant slippage due to low liquidity, he successfully exchanged the tokens for Ethereum (ETH) and made a profit of about $2,8 million. According to According to From the blockchain, a wallet labeled “StablR Exploiter 2” held 1488 ETH worth $3,15 million.
Delay in command response
While Zach XBT While security experts monitored the exploit in real time and were even able to freeze some of the stolen funds, the StablR team appeared to be unaffected by the issue for the first three hours of the attack.
Availability of an exploit in StablR confirmed On Sunday morning, simultaneously with the announcement that efforts were being made to minimize losses, the market reacted quickly and negatively:
- EURR fell by about 26%, having gone down to $0,85 from $1,15.
- USDR suffered an even stronger blow, having fallen by 36% to $0,64.
StablR Euro Price Data from CoinGecko
StablR USD Price Data from CoinGecko
A serious blow to institutional confidence
The incident dealt a serious reputational blow to StablR, as the organization had emphasized its compliance with the EU’s strict Markets in Cryptocurrency (MiCA) regulations by holding an electronic money institution license from the Malta Financial Services Authority.
Risk Warning:
The information on this website is for informational and educational purposes only and does not constitute investment advice or financial recommendations. Cryptocurrencies and digital assets carry a high level of risk, including possible loss of capital. The editors are not responsible for decisions made based on the published materials. It is recommended that you conduct your own research (DYOR) before making investment decisions. Read the editorial policy. https://happycoin.club/about/