AFX Trade, a protocol on Arbitrum, has suffered an exploit with roughly $24.15 million in USDC drained, according to blockchain security firm Blockaid.
Blockaid flagged the security incident on Wednesday, noting that the exploit was "specific to a bridge that AFX operates." The security firm added that it is working with the Arbitrum team to respond to the incident and coordinate with the affected protocol.
According to PeckShield, the attacker bridged the stolen funds from Arbitrum to Ethereum and swapped them for 12,467 ETH, worth roughly $24 million at current prices.
Steven Goldfeder, CEO of Offchain Labs, the team behind the Ethereum Layer 2 network Arbitrum, said on X that the Arbitrum team is investigating the exploit.
"We can confirm that the transaction in question originated from a third party protocol, and the Arbitrum native bridge has not been hacked or exploited in any way," said Goldfeder. "We will coordinate with the third party team and will report more details when we have them."
The Block has reached out to AFX for comment.
This is a developing story.
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