Humanity Protocol is facing a major crisis after a security breach led to the theft of millions of dollars’ worth of H tokens, triggering a sharp sell-off and raising fresh concerns about the project’s security practices.
The incident was first flagged by onchain analyst Specter, who reported that several wallets connected to Humanity Protocol had been compromised. Initial losses were estimated at around $5 million, but later findings suggested the scale of the attack was much larger.
We’re aware of a security incident involving the compromise of private keys belonging to a member of the Humanity Foundation. The safety of our community is our top priority, and we want to be fully transparent about what we know.
As a precaution, please do NOT interact with the…— Humanity (@Humanityprot) June 9, 2026
Losses climb above $32 Million
According to Specter, at least 17 wallets holding Humanity Protocol’s native H token were affected by the exploit. Updated estimates put total losses at approximately $32 million.
Blockchain data showed that around $23.7 million worth of stolen assets had already been swapped into Ethereum, while roughly $7.9 million remained in H tokens.
Specter said the exact cause of the breach remains unclear. However, he noted that the affected wallets appeared to share a common connection to Humanity Protocol, suggesting a possible security weakness linked to the project.
The exploit quickly rattled investors, adding significant selling pressure to the token.
Humanity founder confirms private key compromise
Following reports of the incident, Humanity founder Terence Kwok confirmed that private keys belonging to a member of the Humanity Foundation had been compromised.
We’ve detected a security incident involving the compromise of private keys belonging to a member of the Humanity Foundation. As a precaution, please do not interact with the bridge or any liquidity pools until we confirm it’s safe.
We’re already working with security experts…
— Terence Kwok 「 🖐️ ✦ 🌏 」 (@terencekwok) June 9, 2026
Kwok said the team is working with security specialists and exchange partners to investigate the breach and limit further damage. He also apologized to the community and promised ongoing updates as the situation develops.
Later in the day, Specter reported that the attacker had minted an additional 100 million H tokens and was actively selling them for BNB, worsening the market impact.
Meanwhile, a recent DeFi exploit drained nearly $3 million from users linked to the SquidRouterModule on Ethereum and Base, according to blockchain security firm Blockaid. The attack reportedly affected 86 Gnosis Safes within about two hours, with stolen funds quickly swapped into DAI through attacker-controlled Uniswap V3 pools.
Questions emerge over nature of incident
The explanation provided by Humanity’s team has been challenged by blockchain investigator ZachXBT, who expressed doubts about the official account of events.
ZachXBT said it remains unclear whether the incident was a genuine theft or an activity involving a market maker. He questioned the team’s explanation and suggested the possibility that the event may not have unfolded as presented.
The controversy comes as Humanity Protocol has already faced scrutiny over changes to investor token vesting plans. The latest incident also follows a growing number of private key and privileged-access failures across the crypto industry in 2026. Recent reports from DeFiLlama showed crypto hacks have exceeded $17 billion over the past decade, with attackers increasingly targeting wallets, bridges, signing systems, and private key management instead of only exploiting smart contract code.
As confidence weakened, the H token dropped nearly 89% over the past 24 hours, the price currently trading at $0.126. The 24-hour high and low are $0.732 and $0.0747, respectively, marking one of the project’s steepest declines since launch.
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