Loopscale, a Solana-Based Crypto Project, Loses Millions After Recent Hack

Loopscale, a decentralized finance project built on Solana, suffered a major security breach over the weekend, losing over $5.8 million — roughly 12% of its total

output: A decentralized finance project built on Solana disclosed on Saturday that it had been subject to a significant security breach. Over the weekend, exploiter drained over $5.8 million, or roughly 12% of its total value locked (TVL), from Loopscale.

The exploit targeted a specific market within the platform and was traced back to an issue with how Loopscale priced RateX-based collateral, according to a statement on X.

Originally known as Bridgesplit, Loopscale pivoted from its early focus on NFT-based yield products to launching an order book lending platform in April.

Unlike typical pool-based lenders like Aave or Solend, Loopscale’s model is designed to offer borrowers more predictable rates and stability. Backed by investors including Solana Labs and Coinbase Ventures, the project raised $4.25 million in 2021.

The platform had undergone audits by OShield earlier this year, which identified and reportedly fixed several critical vulnerabilities. Another review by Sec3 is still in progress.

However, despite these efforts, recent incidents highlighted serious flaws.

The Loopscale team is restricting some platform functions and diverting efforts to fully investigate the breach, recover stolen funds, and protect users, said co-founder Mary Gooneratne.

Loopscale is partially reopening its platform to allow for repayments and top-ups.

The incident comes amid a series of major DeFi hacks in 2025. Earlier this month, Bybit disclosed a staggering $1.46 billion loss from a crypto exchange in an incident that reportedly involved stolen hot wallet funds.

In July, KiloEX fell victim to an exploit that resulted in the theft of over $75 million, while Infini was hit by an incident that compromised user funds.