Odin.fun, a Bitcoin-based memecoin launchpad and trading platform, has confirmed a major exploit resulting in the theft of 58.2 BTC, worth approximately $7 million.
- Odin.fun, a Bitcoin-based memecoin launchpad, lost 58.2 BTC (~$7M) in a liquidity manipulation exploit on Aug. 12, marking its fourth hack since 2024.
- Trading and withdrawals were paused as the team engaged auditors, law enforcement, and exchanges.
- The ODINDOG token dropped 40%, fueling concerns over the platform’s long-term security and reputation amid rising DeFi exploit activity.
The Aug. 12 attack was disclosed on X by PeckShield, which cited a community member’s report that Bitcoin (BTC) deposits on the platform plunged from 291 BTC to 232.8 BTC in less than two hours.
The exploit involved a liquidity manipulation scheme, in which attackers added assets like SATOSHI to Odin’s liquidity pools, artificially inflated prices, then withdrew liquidity to extract BTC without returning paired assets.
Hours after the breach, Odin.fun co-founder Bob Bodily confirmed the platform had paused trading and withdrawals to prevent further losses. Bodily described the incident as stemming from a vulnerability in the platform’s automated market maker system, introduced in a recent update.
“Several malicious users, primarily linked to groups in China, took advantage of this vulnerability to steal a significant amount of BTC from the platform,” Bodily wrote. He admitted that the company treasury isn’t large enough to fully cover the losses, but pledged a “concrete plan” to compensate affected users.
Legal action and security audit
Odin.fun has engaged a top-tier security firm for a week-long audit and contacted U.S. law enforcement, as well as exchanges OKX and Binance, which are assisting Chinese authorities in the investigation. Bodily has issued a direct warning to the attackers.
“You have a short window to return the funds before it is too late. This is not a negotiation. You have one chance to limit the consequences and avoid prosecution,” Bodily wrote.
The team claims to have gathered substantial evidence, including wallet activity linked to the exploit.
Community backlash and history of hacks
The exploit caused a 40% decline in ODINDOG, the native token of Odin.fun, raising concerns about the security of the platform. While some users praised the team’s openness, others pointed to persistent weaknesses, such as a $178,000 hack in April 2025 that was caused by errors in the “Sign-In With Bitcoin” authentication system. That earlier incident was reportedly patched.
This is Odin.fun’s fourth reported exploit, raising concerns among users about whether the platform can recover its reputation, despite its rapid growth in the Bitcoin DeFi sector.
Crypto hack landscape
The incident comes amid a surge in DeFi-related exploits. As previously reported by crypto.news, there were 17 significant hacks in July 2025, resulting in losses of $142 million, a 27% increase from June. The majority of the stolen money was laundered through cross-chain bridges, which have replaced mixers as the main means of transferring illegal cryptocurrency.
Odin.fun has not provided a firm timeline for resuming operations but insists it is “here to stay” and is committed to rebuilding user trust.
