TLDR

  • 38.05 SolvBTC—valued at $2.7 million—was drained from the BRO vault

  • Solv is offering a 10% bounty for the return of the stolen funds

  • Less than 10 users were affected by the exploit

  • Researchers point to double-minting and reentrancy vulnerabilities

Solv Protocol confirmed that one of its Bitcoin Reserve Offering vaults had been exploited. The attack led to the loss of approximately 38.05 SolvBTC—an amount valued at around $2.7 million. SolvBTC is a Bitcoin-pegged token used throughout the platform.

The project reported that fewer than 10 users were impacted by the incident. It noted that all other vaults and user assets remain unharmed. Solv announced on X that it would fully compensate for the losses. The team also provided an Ethereum wallet address and offered the attacker a 10% white-hat bounty for returning the funds.

As of the time of reporting, the attacker had not responded on-chain. Blockchain data indicates no message was sent to the specified address.

Researchers Cite Smart Contract Flaw

While a full post-mortem has not yet been , security researchers have shared initial findings. Analysts identified a vulnerability in one of Solv’s smart contracts. Security firm Decurity’s automated bot detected a double-minting flaw in the Bitcoin Reserve Offering contract. The attacker reportedly triggered the vulnerability 22 times.

Findings indicate that 135 BRO tokens were inflated to around 567 million BRO. The attacker then converted those tokens into roughly 38 SolvBTC. CD Security co-founder Chris Dior stated that the hacker repeatedly exploited the flaw before swapping the tokens. A pseudonymous researcher called Pyro described the incident as a reentrancy attack.

Reentrancy attacks enable repeated calls to a contract before balances are updated. This method has impacted multiple DeFi protocols in recent years.

Solv Works With Security Partners

Solv stated that it is investigating the incident with external security firms. The project named Hypernative Labs, SlowMist, and CertiK as its partners. The team said measures have been put in place to prevent similar attacks but did not reveal specific technical changes.

Solv functions as a Bitcoin-focused DeFi platform. Users deposit Bitcoin and receive SolvBTC, which can be used for lending, borrowing, and staking. The platform claims to hold 24,226 Bitcoin in reserves—an amount valued at over $1.7 billion based on current prices.

Solv describes itself as the largest on-chain . The exploit impacted one structured yield vault within its ecosystem.

Token Reaction and Broader Context

Despite the exploit, the project’s native token SOLV stayed stable. Market data indicated the token increased by about 2% over the past day. The broader faced downward pressure during the same period. Solv stated that user assets outside the affected vault remain secure.

This incident adds to recent crypto security events involving smart contract vulnerabilities. Attackers continue to target DeFi protocols that handle large asset pools.

Solv reaffirmed that impacted users will receive full compensation. The project is waiting for a response from the attacker regarding the bounty offer.