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California Law Firm Files Class Action Against Circle Over Drift Protocol USDC Losses

California Law Firm Files Class Action Against Circle Over Drift Protocol USDC Losses

According to the filing, Gibbs Mura sued Circle on behalf of Drift Protocol investors, alleging it failed to freeze stolen USDC after one of Solana’s largest attacks, which is suspected to involve North Korea.

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Fact Check
The claim is likely true based on the validated Cointelegraph report, which specifically says the lawsuit was filed in a US district court in Massachusetts and alleges Circle failed to act while about $230 million in USDC moved from Solana to Ethereum after the April 1 Drift Protocol hack. PANews independently repeats the same core allegations in a validated fetch and cites Cointelegraph as its source. However, confidence is only medium because I did not obtain the underlying complaint itself or a court docket page in this run, and the user’s phrasing says 'According to the Massachusetts complaint,' which ideally should be verified against the complaint text directly.
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Summary

Gibbs Mura has filed a class action lawsuit against Circle on behalf of investors affected by unauthorized access to Drift Protocol, alleging the USDC issuer failed to freeze stolen funds. The suit was filed on the 14th and centers on losses valued at about ¥42.7 billion. Earlier complaint details cited in the existing topic say attackers stole roughly $280 million to $285 million from the Solana-based protocol on April 1, moved about $230 million in USDC from Solana to Ethereum through Circle’s Cross-Chain Transfer Protocol, and that the case was brought by a Drift investor representing more than 100 members. The new report adds that the incident is described as among Solana’s largest and is suspected to involve North Korea.

Terms & Concepts
  • USDC: A U.S. dollar-pegged stablecoin issued by Circle that is designed to maintain a 1:1 value with the dollar.
  • Drift Protocol: A Solana-based decentralized finance platform referenced in the lawsuit over losses tied to unauthorized access.
  • Solana: A blockchain network used for crypto and decentralized finance applications, where the reported Drift Protocol attack occurred.