Unknowns attacked the Polkadot-based Acala Network protocol and exported more than 1.2 billion AUSD. As a result, the stablecoin price is currently down to $0.05.

At the time of writing, the stablecoin is trading at $0.87.

“We have identified a Honzon protocol configuration issue affecting AUSD. We are holding an urgent vote to suspend operations in Acala as we investigate and resolve the issue. “We will announce a return to normal network operation,” the project team said.

We noticed a configuration issue of the Honzon protocol affecting a USD. We are passing an urgent vote to pause operations in Acala as we investigate and mitigate the issue. We will give you feedback when we return to normal network operation.

— Acala (@AcalaNetwork) 14 August 2022

According to Twitter account WatcherGuru, the attackers took advantage of the exploit and “printed” 1.2 billion AUSD.

JUST IN: Hackers hacked 1.2 billion $USD on the Acala Network through an exploit.

— Watcher.Guru (@WatcherGuru) 14 August 2022

At the time of writing, the assets are in the hacker’s wallet. The stablecoin’s price has started to recover, but has yet to return to the set $1 mark.

Startup Acala was founded by residents of New Zealand. According to the creators, the AUSD stablecoin allows you to have assets locked in staking liquid. The token can be issued against the security of various cryptocurrencies including Polkadot, Kusama, Acala, and Karura.

Recall that in March Acala Network launched a $250 million fund to promote the use of AUSD.

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