Truebit (TRU) Plummets 99.95%: Cyvers Alerts on $26 Million Ethereum Drain

A protocol designed for trustless computation just got a brutal lesson in trust.

The $26 Million Vanishing Act

Cyvers, a blockchain security firm, flagged a massive and suspicious outflow. The numbers don't lie: a staggering $26 million worth of Ethereum suddenly drained from the Truebit ecosystem. The market's reaction was instantaneous and catastrophic.

Market Carnage in Real-Time

The TRU token didn't dip—it cratered. A near-total collapse of 99.95% in value wiped out holdings in moments. It's the kind of chart that makes even seasoned crypto traders wince, a vertical line pointing straight to zero. The incident exposes the razor-thin line between innovative scalability and operational vulnerability.

The Aftermath and the Eternal Question

Investigations are scrambling to trace the funds and identify the exploit's vector. Was it a sophisticated smart contract hack, an insider job, or a catastrophic configuration error? The community is left sifting through the digital rubble, a now-familiar ritual in decentralized finance. It's a stark reminder: in crypto, you're often one unaudited code snippet away from becoming an unwilling philanthropist to a faceless hacker. Another day, another protocol learning the hard way that in the pursuit of decentralization, someone still has to hold the keys—and sometimes, they get stolen.

Onchain Details

The label “Truebit Protocol: Purchase” maps toon Ethereum, which Etherscan tags as a Truebit contract address. Cyvers’ estimate centers on(aboutat ~), and the open question for desks is whether that ETH represents treasury funds, a mispriced “purchase” path, or a compromised hot wallet connected to Truebit’s TRU sales FLOW referenced in project docs (“All sales transact in ETH”).

CoinGecko data showedbefore crashing to $0.00007923.

Truebit lists the TRU token contract at 0xf65B5C5104c4faFD4b709d9D60a185eAE063276c, which matters because confusion between “Truebit (TRU)” and “TrueFi (TRU)” has repeatedly polluted execution and risk systems on desks that rely on symbol-only mappings.

Trading Desk Read

For a desk, the tradable signal is not “TRU down 99.95%”. The signal is that a labeled(a Flow that can touch treasury ETH, fee rails, or sale mechanics) sits at the center of a suspectedloss, which increases counterparty risk for any venue still quoting TRU and raises operational risk for any strategy that keys off ticker symbols alone (TRU has a long history of symbol collision with TrueFi).

Expect market makers to widen or pull quotes until the actual drain path (treasury vs. user flow vs. labeling error) gets pinned to a specific transaction trail and a Truebit-controlled signer set.