Top memecoins fell after Shiba Inu’s layer-2 network, Shibarium, suffered a $2.4 million flash loan attack, raising fresh concerns over security in joke cryptocurrencies.
The attacker borrowed 4.6 million BONE tokens—the governance token of the Shiba Inu ecosystem—to temporarily seize control of validator keys. This allowed unauthorized transactions to be approved, draining assets from Shibarium’s bridge to Ethereum. The Shiba Inu team contained the damage, as the BONE tokens involved were locked by staking rules, preventing a larger breach.
SHIB dropped 4% to $0.00001369 and later traded at $0.00001359, with trading volume exceeding 1.064 trillion tokens. BONE initially surged past $0.36 but has cooled to around $0.20, down over 2% in 24 hours. Technical indicators show SHIB consolidating between $0.000013600 and $0.000013780, with potential to test resistance near $0.000014000.
Dogecoin (DOGE) also weakened, falling 4% to $0.2780 and further to $0.2736, influenced by a 119.3 million DOGE ($34M+) transfer to exchange OKX, likely signaling liquidation.
The incident highlights persistent vulnerabilities in memecoins and the broader crypto market, underlining the risks associated with high-volatility tokens.
