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Ethereum Layer 2 Taiko Urges Users to Withdraw Funds From Bridges, Confirms Security Breach

Cryptopotato • June 22, 2026

Taiko, the Ethereum layer 2 blockchain, has urged users to withdraw their funds from all bridges deployed on the network immediately.

This follows a confirmation of a security breach involving the network’s chain state verification mechanism.

We have confirmed a compromise of Taiko’s chain state verification mechanism. As a result, the security assumptions of all bridges deployed on Taiko can no longer be relied upon.

The team confirmed they are actively working with the Security Council and various ecosystem partners to contain the incident, pause the affected system wherever possible, and take both technical and legal actions.

So far, there’s no information on the amount of funds in jeopardy or if something has been stolen.

According to data from PeckShield, the exploit resulted in a loss of $1.7 million, while the attacker has already transferred 1.99 million TAIKO tokens, worth slightly less than $200K, to MEXC.

#PeckShieldAlert @taikoxyz has been exploited for ~$1.7M.

The exploiter has already transferred 1.99M $TAIKO (~$189.12K) to #MEXC pic.twitter.com/Sl9kesSSUM

— PeckShieldAlert (@PeckShieldAlert) June 22, 2026

Georgi Georgiev is CryptoPotato's editor-in-chief and a seasoned writer with over 8 years of experience writing blockchain and cryptocurrencies. Georgi's passion for Bitcoin and cryptocurrencies bloomed in late 2016 and he hasn't looked back since. Crypto’s technological and economic implications are what interest him most, and he has one eye turned to the market whenever he’s not sleeping.

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This article is one source in a clustered incident — the cluster page carries the summary, timeline and every other outlet covering it.

Taiko Ethereum Layer 2 Network Halts After $1.7M Bridge Exploit Taiko, an Ethereum Layer 2 rollup, has halted block production following a security breach affecting its bridge mechanism. An attacker exploited a flaw in the bridge's message-proof verification, allowing them to forge withdrawal requests without legitimate deposits. The estimated losses amount to $1.7 million, with 1.99 million Taiko tokens transferred to the MEXC exchange. Taiko has urged users to withdraw funds from all bridges and requested centralized exchanges to suspend deposits of its native token. The incident was initially reported by Blockaid, which identified the root cause as an exposed signing key on GitHub. The team is coordinating with its Security Council and ecosystem partners to contain the incident and prepare a post-mortem report. The breach highlights vulnerabilities in cross-chain bridges, which have been targeted in multiple exploits this year. 11 sources 71

Ethereum Layer 2 Taiko Urges Users to Withdraw Funds From Bridges, Confirms Security Breach

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