Balance Coin loses nearly all $3.5 million market value after Bitcoin collateral vaults are compromised in a security breach.
Balance Coin ($BLC), a stablecoin designed to maintain a $1 peg, plunged over 99% to $0.0014 after a hacker drained its Bitcoin-backed collateral. The attack erased nearly all of the token’s $3.5 million nominal value.
The stablecoin had traded near its $1 peg before the exploit, which involved unauthorized access to multiple Bitcoin vaults. The hacker liquidated the seized assets for cash, highlighting vulnerabilities in crypto security amid rising AI-driven threats.
Bitcoin ($BTC) remains stable at $65,900, unaffected by the incident. The future of $BLC remains uncertain as the project has not outlined recovery plans.