Humanity Protocol, an identity-verification network, lost more than $32 million in a private key exploit on June 9. The attack targeted wallets linked to the project's H token, which plunged nearly 90% in value. On-chain investigator ZachXBT said the incident may have been 'possibly staged,' though he did not elaborate.
How the hack unfolded
The attacker gained access to private keys controlling wallets associated with the H token. The exact method of the key compromise has not been disclosed. The stolen funds — over $32 million at pre-hack prices — were moved out of the wallets in a series of transactions that drew immediate attention from blockchain monitoring accounts.
Humanity Protocol, which aims to build a decentralized identity system, has not yet issued a public statement about the breach. The project's social media channels went quiet shortly after the exploit was detected.
Token collapse
The H token lost roughly 90% of its value within hours of the attack. Trading data shows the price fell from around $0.40 to below $0.04 before stabilizing slightly. The crash erased millions in market capitalization and left holders with heavy losses.
The token had been trading on several decentralized exchanges. Liquidity pools tied to H were drained as the price dropped, compounding the sell-off.
ZachXBT's 'possibly staged' comment
ZachXBT, a well-known on-chain sleuth who often investigates cryptocurrency hacks, posted a brief analysis of the exploit. In it, he noted that the attack 'may have been possibly staged.' The remark has sparked speculation among traders and security researchers, but no evidence has been made public to support or refute the claim.
The investigator did not provide details on what led him to that conclusion. Whether the hack was an inside job or an external theft remains an open question.
No law enforcement agency has publicly announced an investigation. The stolen funds have not been returned, and the identity of the attacker is unknown.
