ThorChain said on Sept. 28 that its recent network halt was an emergency safety mechanism intended to protect protocol security, rejecting claims that the move amounted to a selective freeze on specific funds or an individual swap restriction. The project said the pause was not designed to target particular addresses and reiterated that THORChain is a permissionless blockchain platform built not to censor transactions.
The statement came after renewed scrutiny over the protocol’s handling of illicit flows. ThorChain noted that during a security incident in May 2026, $10.7 million was stolen from liquidity pools. Because the attacker’s address had not been blacklisted at the time, it was still able to trade on THORChain.
On Sept. 26, Bitget CEO Gracy Chen said addresses tied to the exchange’s security incident had been made public and were under ongoing tracking. Bitget has formally asked THORChain to deny service to those addresses. Chen said decentralization should not be used as a shield to help known stolen funds move, and added that the broader crypto industry is watching how THORChain handles the matter.
ThorChain said on Sept. 28 that its network halt was an emergency safety mechanism aimed at protecting protocol security.
The project said the pause was not a selective freeze on specific funds, nor was it a restriction aimed at an individual swap.
ThorChain also said that in a security incident in May 2026, $10.7 million was stolen from liquidity pools. At the time, the attacker’s address had not been blacklisted, which meant it was still able to trade on THORChain.
The protocol said THORChain is a permissionless blockchain platform and was designed not to impose censorship.
On Sept. 26, Bitget CEO Gracy Chen said addresses linked to the platform’s security incident had been made public and were under ongoing tracking. Bitget has formally asked THORChain to deny service to those addresses.
Chen said, 「Decentralization is a design principle and should not become a shield for helping known stolen funds move.」 She also said the wider crypto industry was watching how THORChain would handle the matter.
ThorChain has recently faced controversy after hackers repeatedly used the protocol as a route for laundering funds. It has continued to refuse to block related addresses, citing decentralization and its permissionless design.
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