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THORChain Restores Vault Solvency After Ethereum Reorg Prompts 10-Chain Trading Halt

THORChain has fully restored its vault solvency after a user returned 10 Ether erroneously paid out following an Ethereum blockchain reorganization. The single-block reorg on Oct. 31 dropped an unconfirmed deposit that THORChain nodes had already observed and refunded, creating a 10 ETH shortfall. The protocol's automated solvency checker triggered an immediate halt to ETH swaps within two minutes. Node operators then voted to pause trading across 10 major networks, including Bitcoin and Solana, while developers finalize patches. Chainalysis noted the emergency pause also disrupted fund laundering by North Korean hackers.

Category

Ethereum

Sentiment

Mixed

Event

Crypto native

Reading time

1 min