YZi Labs-backed BounceBit to shut down BounceBit Chain L1 after 286.5M BB exploit; BB to be reissued on BNB Chain
AI Market Summary
BounceBit will permanently shut down its Evmos-based L1 after an authorization flaw enabled unauthorized movement of ~286.5M BB from nine mainnet accounts. The project plans to reissue BB as a BEP20 on BNB Chain using a pre-exploit snapshot, excluding the attacker-moved tokens. While the team says private keys and other products were unaffected, the chain sunset and exploit materially raise protocol and continuity risk for BB.
Impact level
● High
Affected assets
BB/USDT+12.97%
AI Insight · BB/USDTAI Insight
▼ Bearish
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BounceBit said it will permanently sunset BounceBit Chain following an exploit that saw roughly 286.5 million BB moved from nine mainnet accounts.
According to the project, the attacker exploited a protocol-level authorization flaw on its Evmos-based chain to transfer the tokens without authorization. BounceBit emphasized that no private keys or user wallets were compromised, and its CeDeFi, Prime and RWA products were not affected.
BounceBit plans to reissue BB as a BEP20 token on BNB Chain using a pre-exploit snapshot. The 286.5 million BB moved by the attacker will not be included in the new token supply.
The project previously raised $6 million in a 2024 seed round co-led by Blockchain Capital and Breyer Capital, with participation from OKX Ventures and HTX Ventures. It later received a separate investment from Binance Labs, now rebranded as YZi Labs.
