LayerZero Executor wallets hacked: $2.4 million in crypto stolen

Security researchers are raising the alarm: LayerZero’s Executor wallets appear to have been compromised. According to a report from PeckShieldAlert, attackers are draining approximately $2.4 million in crypto across multiple networks, including BNB Chain, Base, Arbitrum, Avalanche, Optimism, Plasma and Ethereum. After the theft, the hackers transfer the stolen funds to the Ethereum network, where they convert a large portion into 956 Ethereum worth $1.79 million and $322.000 in USDC.

Attack spreads across multiple networks

On-chain data shows that the attacker is active across a large number of networks simultaneously. On the Linea chain, 27 ETH ($50.641) disappears, while on Base as much as 100 ETH ($187.562) is taken. Via Arbitrum, 90 ETH ($168.917) flows out, while on BNB Chain both 150 BNB ($86.560) and 60 BNB ($34.624) are moved. On Optimism, transactions of 28 ETH and 5 ETH are visible, and on Avalanche 3,000 AVAX worth nearly $20.000 disappears.

The transactions show that multiple wallets are involved, including addresses linked to the LayerZero Executor. In addition, 500,000 POL tokens ($41.593) and 147,777 XPL tokens ($13.759) are lost via the Polygon and Plasma networks respectively. On Sonic, as many as 500,000 S tokens ($12.808) disappear in a single move.

Stolen funds consolidated into Ethereum and stablecoins on a single address

After the initial theft on the various networks, the attacker bridges everything to Ethereum. There the final conversion takes place: the largest portion, 956 ETH worth $1.79 million, ends up in a single wallet. In addition, the hacker holds $322.000 in USDC stablecoins in reserve. Security firms often see this pattern, where an attacker quickly moves from multiple networks to a single chain, in such targeted attacks on infrastructure wallets.

LayerZero is a cross-chain communication protocol that allows messages and tokens to be sent between different blockchains. The Executor wallets play a central role in this by automatically executing transactions. Compromising these wallets is therefore particularly sensitive. At the time of writing, Ethereum stands at $1.900, up 5.2% in the past 24 hours.