GardenFi HTLC exploit drains about $450K USDT across Ethereum, Base, Arbitrum, and BNB Chain, according to Blockaid.
GardenFi is facing an active security incident after Blockaid detected an exploit tied to its HTLC component. The security firm said about $450,000 in USDT had been drained so far.
The affected networks include Ethereum, Base, Arbitrum, and BNB Chain. The multi-chain activity places the exploit across several major DeFi environments.
Blockaid described the incident as ongoing, meaning the reported loss may still change. Users and market watchers are now waiting for more details from GardenFi.
The case adds fresh attention to risks around cross-chain DeFi systems. Protocols that operate across several networks often need fast monitoring and emergency response tools.
Blockaid Flags Active GardenFi Exploit
Blockaid said it detected an ongoing exploit affecting GardenFi’s HTLC system. HTLC stands for hashed timelock contract, a tool often used in conditional transactions. The alert said attackers had drained about $450,000 in USDT.
🚨 Blockaid detected an ongoing exploit on @gardenfi HTLC.
~$450k USDT drained so far on Eth, Base, Arb and BSC.
More details in 🧵
— Blockaid (@blockaid_) July 26, 2026
The reported drain affected Ethereum, Base, Arbitrum, and BNB Chain. This means the activity was not limited to one blockchain. Instead, the attacker moved across several networks during the incident.
Because the exploit was described as active, the final loss may not be confirmed yet. Early exploit figures can change after investigators review more wallets. GardenFi has not been quoted in the provided update with a final report.
Multi-Chain Attack Raises Risk Concerns
Cross-chain protocols can face added risk because they connect activity across several networks. A weakness in one area may affect funds or flows on other chains. This makes security design important for protocols handling cross-chain transfers.
In this case, the exploit involved USDT across four networks. Stablecoin liquidity is often used in DeFi because it supports trading and transfers. That liquidity can also become a target during active attacks.
Blockaid’s alert shows that real-time monitoring can identify threats while they are happening. However, detection alone may not stop losses immediately. Protocols often need pause controls, response teams, and clear user warnings.
Read also: Lien Finance Exploit Drains $542K in USDC Through Smart Contract Flaw
Users Await GardenFi Response
GardenFi users are now watching for official guidance on the exploit. A clear response would usually explain affected contracts, impacted assets, and any recovery plan. It may also describe whether users need to take action.
Security teams will likely review wallet movements and transaction paths across the four networks. This can help confirm the full loss and identify related addresses. It may also show whether more funds were affected after the first alert.
The incident keeps focus on GardenFi’s HTLC security and cross-chain design. Users may also watch whether markets are paused or contracts are updated. Further details from GardenFi and Blockaid may clarify the total impact.
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