SwissBorg has fallen victim to a significant security breach resulting in an approximately $41.5 million theft. | Credit: Pexels.
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Key Takeaways
SwissBorg suffered a major security breach through a vulnerability in a partner API.
The platform has pledged to reimburse affected users from its Solana treasury reserves.
The breach comes amid broader instability in the crypto ecosystem.
SwissBorg, the Swiss-based digital asset management platform, has fallen victim to a major security breach resulting in the theft of approximately $41.5 million.
The attack, which affected its SOL Earn staking program, exploited a vulnerability in a partner API, according to multiple sources.
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On Monday, on-chain investigator ZachXBT shared that SwissBorg had lost approximately 192,600 SOL.
“This is a difficult day for SwissBorg,” a company spokesperson said on X.
The spokesperson added that the breach had occurred through one of its staking partners, with hackers managing to drain SOL from the platform’s Earn product.
ZachXBT reported the breach on Telegram | Source: ZachXBT
Despite the scale of the theft, SwissBorg said the breach had only impacted around 1% of its user base, and approximately 2% of its total assets.
“Rest assured, the SwissBorg app remains fully secure and all other funds in Earn programs are 100% safe,” it added.
Recovery Plan
Shortly after the breach was reported, SwissBorg sought to reassure its community by pledging to cover user losses from its own reserves.
Drawing on its Solana treasury, the company said it would reimburse those affected, with the goal of making them whole or as close to whole as possible.
In its list of immediate actions, SwissBorg noted it would allocate its “SOL Treasury so users recover a significant portion of their balance, figures to be finalized soon.”
SOL Earn Incident & SwissBorg Recovery Plan
A partner API was compromised, impacting our SOL Earn Program (~193k SOL, <1% of users). 👉 Rest assured, the SwissBorg app remains fully secure and all other funds in Earn programs are 100% safe.
It added that it was working with white-hat hackers and law enforcement agencies to make “all users whole.”
The company said day-to-day operations were continuing normally and emphasized that the hack did not threaten its overall stability.
Crypto Instability
The breach comes during a particularly fraught period for the industry, with a number of crypto projects coming under fire for being scams in recent days.
On Monday, Solana-based project Aqua faced allegations from ZachXBT of a rug pull after funds worth more than 21,700 SOL tokens, approximately $4.65 million, vanished from its wallets.
The funds were rapidly dispersed through intermediary addresses into instant exchanges.
Aqua had gained traction in recent weeks after being promoted by a number of high-profile groups within the Solana ecosystem alongside a variety of influencers.
“A few hours ago the funds were split four ways and transferred between intermediary addresses before being sent to multiple instant exchanges,” ZachXBT wrote on Telegram.
“The team has since turned off replies on X for all posts,” he added.
Kurt Robson is a London-based reporter at CCN, specialising in the fast-moving worlds of crypto and emerging technology. He began his career covering local news in Cornwall after graduating from Falmouth University with First Class Honours in Journalism. There, he cut his teeth on everything from council meetings to missing swans.
He quickly rose through the ranks to become a frontline journalist at several of the UK’s leading national newspapers. Over the years, he has interviewed musicians and celebrities, reported from courtrooms and crime scenes, and secured multiple front-page exclusives.
Following the upheaval of the COVID-19 pandemic, Kurt shifted his focus to technology journalism—just ahead of the AI boom. With a natural curiosity and a trained eye for emerging trends, he has found a new rhythm in reporting on innovation.
At CCN, Kurt's work focuses on the cutting edge of crypto, blockchain, AI, and the evolving digital world. Drawing on his background in people-first reporting and his deep interest in disruptive tech, Kurt delivers stories that are insightful, entertaining, and human-centric.
