XPR Network, a layer one blockchain, was hacked as a result of an attack on proton swaps, during which approximately $9 million was stolen.
The attacker exploited a vulnerability in the withdrawal function that accepted negative values, allowing manipulation of internal balances before the actual tokens were withdrawn. This technique was applied to several asset pools, including XUSDC, XMD, METAL, LOAN, and bridge assets. Within just 11 minutes of the attack's onset, the attacker withdrew over $9 million in liquidity. Additionally, 563 million XPR worth about $1.46 million passed through the LOAN protocol after the attacker took a loan secured by the stolen stablecoins. This brought the total volume of affected XPR to approximately 2.12 billion, or 6.5% of the circulating supply. Later, the attacker transferred 764 million XPR, worth around $1.98 million, and 150,000 METAL, valued at approximately $195,000, to another account. Network producers later identified the exploit and patched the contract.
The on-chain dump quickly impacted the price of XPR: sellers took control amid waning confidence. On September 11, XPR traded around $0.00276, then sharply fell the next day. The sell-off pushed the price to an intraday low of about $0.00242, representing a decline of approximately 6.5%. However, after the drop, buyers returned, lifting XPR back to $0.00259. This rebound remained limited as the token traded below the support level of $0.00271. Meanwhile, the RSI dropped to 27.47, placing XPR in the oversold zone and indicating strong selling pressure. Trading activity increased, with turnover approaching $4 million. Thus, the rebound signals buyer interest, but for a sustainable recovery, XPR needs to reclaim the $0.00271 level and stabilize sentiment.
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