An RWA (real-world asset) platform built on Ethereum has suffered a malicious attack resulting in a loss of $8.85 million. Zoth, which is a self-described ‘RWAFi’ platform, had already been hacked once this month.
Security experts believe this latest hack happened as the result of a compromised deployer wallet after Zoth had already lost a six-figure sum earlier in March.
ALERTOur system has detected a suspicious transaction involving @zothdotio. It appears that the protocol’s deployer wallet has been compromised.
30 minutes ago, the proxy contract “USD0PPSubVaultUpgradeable” was upgraded to a contract created by a suspicious address.
The… pic.twitter.com/3OHmvJYpR5
— Cyvers Alerts (@CyversAlerts) March 21, 2025
Cyvers, A Real-Time Security Alert Account, Was The First To Spot The Hack
Earlier today (21 March 2025), a proxy contract on the Zoth platform was upgraded by what security firm Cyvers called a “suspicious address.”
Less than thirty minutes later, $8.85 million worth of the USD0++ stablecoin (the staked version of the USD0 token) was transferred out of the proxy contract and into the hackers wallet.
From there, all of the USD0++ was quickly swapped into the DAI stablecoin before being moved to another address. Another web3 security platform, PeckShield noted that the attacker has since swapped the DAI for 4,223 ETH, worth $8,300,800 at current prices.
Cyvers finished its alert by noting that the Zoth website was down and in maintenance mode, likely in response to the breach.
#PeckShieldAlert @zothdotio hacker has swapped the stolen funds for 4,223 $ETH pic.twitter.com/OAlYk1TqJg
— PeckShieldAlert (@PeckShieldAlert) March 21, 2025
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Zoth Makes Statement On The Hack, Says “Further updates will follow soon”
The Zoth account on X has briefly addressed the incident with a statement.
“Our system has experienced a security breach. We’re actively investigating the incident and taking all necessary steps to resolve it as swiftly as possible,” the statement said.
The company also said that it is working with its partners to mitigate the impact and fully resolve the issue. “A detailed report with a clear view will be shared once the investigation is complete.”
Meanwhile, Zoth hasn’t yet commented on how the contract’s private key fell into the hands of the attacker. But it assured its community that a full update will be released once it a full investigation has been finished.
Business has not been good for Zoth in March as it is the second hack to hit the RWA/DeFi project in the space of a month. On March 6, Zoth lost $285,000 after attackers exploited a Uniswap V3 liquidity pool.
(Zoth.io)
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The post Another Day Another Crypto Hack: RWA Platform ZOTH Is Drained Of $8.85 Million appeared first on 99Bitcoins.
