TLDR
- Blockchain security firm Blockaid detected an ongoing exploit on StablR, with around $2.8 million extracted
- A compromised private key in a weak 1-of-3 multisig account allowed the attacker to mint 8.35M USDR and 4.5M EURR
- StablR’s EURR depegged 23% from $1.15 to $0.88, while USDR dropped 30% to $0.70
- The attacker swapped $10.4 million worth of minted tokens on decentralized exchanges for only 1,115 ETH due to thin liquidity
- May 2025 has seen over a dozen major DeFi exploits, including THORChain, Verus Bridge, Echo Protocol, and Polymarket
An ongoing exploit hit StablR on Sunday, draining around $2.8 million from the stablecoin issuer. Blockchain security firm Blockaid detected the attack through its exploit detection system.
🚨Community Alert
Blockaid's exploit detection system has identified an ongoing exploit on @StablREuro.~$2.8M extracted so far.
Both tokens are depegged: 0x50753cfaf86c094925bf976f218d043f8791e408 (StablR Euro)
and
0x7b43e3875440b44613dc3bc08e7763e6da63c8f8 (StablR USD) on…— Blockaid (@blockaid_) May 24, 2026
The suspected cause was a private key compromise in StablR’s minting multisignature account. The account used a weak 1-of-3 threshold, meaning only one key was needed to approve actions.
The attacker used that access to add themselves as an owner and remove the other owners. They then minted 8.35 million USDR and 4.5 million EURR tokens.
Blockaid was direct about the nature of the failure. “This is not a smart contract bug — it’s a key management and governance failure,” the firm said.
Stablecoins Lose Their Peg
The sudden minting of tokens caused both stablecoins to depeg sharply. StablR’s euro stablecoin, EURR, which had a $14 million market cap, fell 23% from its $1.15 peg to $0.88.
#PeckShieldAlert $USDR & $EURR have depegged (-20%) @StablREuro pic.twitter.com/uITOL4nHH1
— PeckShieldAlert (@PeckShieldAlert) May 24, 2026
StablR’s dollar stablecoin, USDR, with an $11 million market cap, dropped 30% to $0.70. Both tokens were still depegged at the time of reporting.
The attacker swapped the newly minted tokens on decentralized exchanges. Despite the tokens having a face value of around $10.4 million, thin liquidity meant the attacker only received 1,115 ETH, worth about $2.8 million.
ZachXBT reported the total exploit value at roughly $10 million. The attack was still ongoing when reports emerged Sunday morning.
StablR had not posted any updates on its official X account at the time of writing.
A Busy Month for DeFi Exploits
May has seen a wave of crypto exploits. According to DeFiLlama, more than a dozen major incidents have occurred this month alone.
Other protocols hit in May include THORChain, Verus Bridge, Echo Protocol, and Polymarket. Many of these involved compromised private or admin keys rather than smart contract bugs.
Volo Vault, Wasabi Perps, Echo Bridge, and Polymarket were all affected by similar key-related exploits over the past two months.
On May 21, Bitcoin cross-chain bridge Map Protocol was also exploited, this time through a smart contract bug. An attacker minted a quadrillion MAPO tokens in that incident, causing the token to collapse 96%.
StablR issues regulated stablecoins backed by reserves held in segregated accounts at major financial institutions. Tether, the world’s largest stablecoin issuer, invested in StablR in December 2024.
At the time of publication, StablR had not issued a public statement on the exploit.
