Zano exploit minted over $250 million in fake assets

  • Zano team confirmed the attacker minted fake ZANO and fUSD assets.
  • The exploit created 36.89 million ZANO and $18.45 million fUSD.
  • Zano rolled back the network by one month, with recovery stable and ongoing.

The Zano exploit resulted in more than $250 million of counterfeit assets being minted, including 36.89 million ZANO tokens and $18.45 million fUSD, the Freedom Dollar stablecoin. Based on an assumed average ZANO price of $7 during late August and September, the assets were valued at about $250 million. The attacker exchanged $18.4 million worth of assets for fake fUSD, confirming an earlier preliminary estimate from the Freedom Dollar team. The exploit inflated fUSD supply by 153%, from 12 million tokens, and increased ZANO supply by 240% from about 15.44 million tokens. A code error in the Gateway Address feature introduced with Hard Fork 6 left Zano transactions without the required verification, enabling the attacker to conceal counterfeit tokens among legitimate private outputs. Because the affected assets could not be reliably traced, the team rolled back the network by a month. Recovery is stable and ongoing, although ZANO was still trading near $5, a key H2 support level, indicating continued investor uncertainty. The team plans to revisit Gateway Address for broader exchange integration.

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