Crypto Hack: Humanity Protocol Loses $31 Million in Latest Wallet Theft, H Token Crashes 80%

In yet another crypto hack incident, Web3 identity platform Humanity Protocol faced a major wallet theft, losing over $31 million of user funds. The result has been that the H token has crashed more than 80%, losing a massive $1.65 billion of market cap. This incident shows the vulnerability of crypto protocols.

Humanity Protocol Loses $31 Million In Latest Crypto Hack

On Monday, June 8, Humanity Protocol suffered a major security breach, with wallets linked to the crypto project being severely compromised. This led to a total of $31 million in losses in user funds.

According to on-chain analysts, the attacker continues to move funds and is actively swapping stolen H tokens into Ethereum. The exploit triggered a sharp collapse in the token’s valuation. Humanity Protocol’s fully diluted valuation (FDV) reportedly fell from approximately $7 billion before the incident to around $1.2 billion afterward. The H token plunged nearly 90% over the past 24 hours, briefly falling to a low near $0.052.

As per the preliminary investigation, the attacks could have originated from the compromise of the private keys associated with Humanity Protocol wallets. In response, the project urged users not to interact with its bridge or liquidity pools until further notice.

The team said it is working with security experts and exchange partners to investigate the incident and mitigate further damage. Moreover, the official announcement read:

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. Protecting this community is our responsibility, and we don’t take that lightly.

Humanity Protocol Hacker Dumps H Tokens for ETH

Blockchain analytics platform LookonChain has reported that Humanity Protocol has suffered a major exploit, with losses exceeding $30 million. Lookonchain further revealed that the exploiter minted an additional 100 million H tokens on the BNB Smart Chain.

Through token sales, the attacker has already accumulated approximately 18,510 ETH, valued at around $30.8 million, and 1,548 BNB, worth roughly $924,000.

Despite the large-scale liquidation, the hacker still controls approximately 111.36 million H tokens, currently valued at around $14 million, which could potentially be sold into the market.

However, on-chain data indicates that available liquidity for H has been largely depleted, which may limit the attacker’s ability to continue offloading tokens. As a result, the H token is showing some signs of recovery.

ZachXBT Questions The Security Incident

Blockchain investigator ZachXBT raised questions about the explanation provided by Humanity Protocol following its recent security incident. Initially, he stated that it remains unclear whether the event was the result of a theft or an activity involving a market maker.

According to ZachXBT, the high concentration of H token supply may have contributed to the incident being characterized as a security breach. However, upon further analysis of fund movements and laundering activity, the investigator said that the alleged market maker and OTC-related activity appear to be independent. He added that the two events are not directly connected.

ZachXBT also noted the timing of the incident, pointing out that Humanity Protocol had seen weeks of token price appreciation ahead of a scheduled token unlock later this month. He remarked that the project may have benefited from strong market momentum.