In the latest crypto news, Humanity Protocol and its native token H suffered a catastrophic collapse following a major exploit. According to Humanity Protocol founder Terrence Kwok, the attacker gained access after taking control of a Humanity Foundation member’s wallet using compromised private keys. The attacker then proceeded to mint and dump massive amounts of the H token onto the market.
According to blockchain investigator Lookonchain, the hacker has already extracted more than $31 million from the attack. The exploit triggered one of the largest single-day declines in the crypto market this year. CoinMarketCap data shows H plunged from around $0.72 before the incident to as low as $0.075, wiping out about 90% of its value within 24 hours.
Hacker Mints Tokens and Extracts More Than $30 Million
According to Lookonchain, the attacker exploited Humanity Protocol’s token system and began minting new H tokens before dumping them into the market.
So far, Lookonchain has reported two separate 100 million H mints on BNB Chain after the initial exploit. The attacker then sold the minted tokens for Ethereum and BNB, placing immense pressure on the market.
The attacker has accumulated 18,510 ETH, worth approximately $30.83 million, and 1,548 BNB, worth approximately $924,000. Combined, the stolen proceeds exceed $31.75 million. Meanwhile, the exploiter still controls approximately 111.36 million H tokens, valued at roughly $14 million at current prices.
The exploit represents a major setback for Humanity Protocol, which had attracted growing attention for its identity-verification and proof-of-humanity infrastructure. The token has been one of the best performing in the crypto market despite recent volatility. It had staged a near 400% rally between May 28 and June 1, surging from $0.2 to $0.82. Instead of discussing the project’s technology and adoption prospects, the market is now focused on the exploit’s fallout and the risk of further selling pressure.
H Suffers One of Crypto’s Biggest Crashes of the Year
The market reaction was immediate and severe. The attack dramatically altered the token’s supply dynamics. As newly minted tokens flooded exchanges, buyers struggled to absorb the additional supply, accelerating the collapse in price.
CoinMarketCap data shows H fell from roughly $0.72 to $0.075, erasing more than 89% of its value in a single day. During the crash, trading activity surged as investors rushed to exit positions. The token’s 24-hour trading volume climbed above $546 million, highlighting the scale of the panic selling. Meanwhile, the token is currently struggling to stabilize at $0.015, with its market capitalization at $440.4 million.
Lookonchain also warned that on-chain liquidity is now nearly exhausted. After dumping such a large amount of H, the attacker has drained much of the available liquidity from trading pools. While that may limit how much value can be extracted from future sales, investors remain concerned about the remaining 111 million H tokens still under the hacker’s control.
Kwok has encouraged traders and holders to refrain from interacting with the bridge and liquidity pools. He also reassured the community that the Foundation is working with security experts and exchange partners to resolve the issue. For now, the market will be watching to see if the attacker continues to unload the remaining tokens.
Temitope Olajide
