Syscoin Cross-Chain Bridge Vulnerability Releases 50 Billion SYS Tokens; Funds Have Been Returned and Burned

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Syscoin released a technical post-mortem, saying that on June 7, its UTXO-to-NEVM cross-chain bridge was exploited by malicious UTXO destruction transactions that created ambiguity in asset identification, causing the bridge contract on the NEVM side to incorrectly release 50 billion native SYS. The vulnerability stemmed from inconsistent cross-layer interpretation of the same transaction between Syscoin Core and the NEVM relay: Core could recognize it as an attacker-defined asset, while the relay interpreted it as native SYS. Syscoin stated that after the team traced the funds’ flow and contacted the attacker using on-chain information, the 50 billion SYS were returned to the official recovery address, and were then destroyed via standard OP_RETURN transactions, making them no longer spendable by the protocol and restoring the circulating supply to the expected level. The cross-chain bridge is still in a paused state; the team has fixed the relay logic to reject multi-asset, duplicate asset commitments, or any asset destruction proof with an unclear asset identity.
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NftClosetGhost
· 4h ago
Attackers still have some bottom line; they returned the money.
But I'm a bit panicked about this relay logic patch; will they come up with some explanation conflict next time?
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GateUser-08ae47f3
· 4h ago
Is it possible for such a basic mistake like inconsistent cross-layer explanations to happen? Core and relay each say their own thing, the bridge contract is completely confused, 5 billion just released without hesitation, luckily it was recovered.
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TidepoolQuant
· 4h ago
OP_RETURN burn looks satisfying—supply returns to normal. This bridge just needs to be repaired properly; multiple-asset commitments can all be mixed in. How did the audit pass?
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