A malicious actor exploited a compromised private key to mint $80 million in uncollateralized USR tokens, triggering a 72% drop in value. The Resolv protocol now holds $95 million in assets against $173 million in liabilities, resulting in a 55% collateralization ratio.
Pre-incident USR holders may receive roughly 93 cents on the dollar through an allowlist redemption process. However, USR trades at $0.27, down from $0.82 in a single day, amid chaotic market activity and $8.4 million in 24-hour volume.
The protocol’s TVL has collapsed from $684 million to $95 million. Revenue streams are dead. Some Morpho pools using USR as collateral have already been exited. Resolv is working with law enforcement and onchain analytics firms to recover assets.
Resolv warns users against trading USR during recovery, citing potential impact on future claims.