Wallets that interacted with Humanity Protocol are being targeted in an ongoing exploit, onchain analyst Specter flagged on Monday.

On social media platform X, Specter wrote that 17 wallets holding Humanity's native H token were exploited earlier in the day. Losses were initially estimated at around $5 million.

In a follow-up message on his Telegram channel, the onchain analyst updated that losses have since widened to $32 million. Out of the stolen amount, $23.7 million has been swapped for Ethereum, while around $7.9 million remains in H tokens.

"The root cause is still unknown, but the pattern suggests the affected wallets may share a common exposure related to Humanity Protocol," Specter wrote.

Following Specter's reporting, Terence Kwok, founder of Humanity, acknowledged the security breach on X and explained that it involved the compromise of private keys belonging to a member of the Humanity Foundation.

"We're already working with security experts and our exchange partners on resolution," Kwok wrote. "We're deeply sorry — protecting this community is our responsibility, and we'll keep you updated every step of the way."

Meanwhile, the news of the exploit has caused the H token to plummet in value — the cryptocurrency is down 89% in the past 24 hours, according to CoinGecko data.

Humanity Protocol is a decentralized identity verification project using biometrics and zero-knowledge proofs to allow users to prove their humanness without revealing personal data.

This is a developing story.