# Allbridge Core Suffers $1.65M Flash Loan Attack Crypto bridge Allbridge targeted in sophisticated flash loan exploit. - **Source:** [INCRYPTED](https://brifing.si/source/7cd4625d-3f08-4cc1-983d-4c7d991839ba) - **Published:** 2026-07-20 - **Topic:** [Finance](https://brifing.si/c/finance) - **Original article:** - **On Brifing:** https://brifing.si/s/a7947bbe-89b6-45f9-9694-a8f8bdbdb4ee ## Anatomy of the Attack The Allbridge Core bridge fell victim to a sophisticated flash loan attack. The attacker borrowed 1.12 million USDC through Kamino protocol to manipulate the USDC/USDT liquidity pool. Exploiting price discrepancies, they successfully withdrew 2.24 million USDC. ## Impact Assessment The $1.65 million exploit caused the project's Total Value Locked (TVL) to plummet from $21.61 million to $12.78 million. The attacker transferred stolen funds to the Ethereum network and attempted to obscure traces using mixing services. ## Project Response Allbridge Core's team detected suspicious activity and temporarily suspended the protocol. They urged users to withdraw assets from liquidity pools and requested those who profited from arbitrage opportunities to return funds to cover damages. ## Repeat Incident This isn't Allbridge's first security breach. In April 2023, a similar flash loan attack targeted BNB Chain liquidity pools, resulting in $570,000 losses. Interestingly, that attacker returned most of the funds. ## Industry Risks Flash loan attacks remain critical vulnerabilities in DeFi ecosystems. The misuse of instant loan mechanisms frequently manipulates liquidity pools and price ratios. This incident highlights the need for revised security standards across the industry. ## Implications The Allbridge attack underscores persistent security weaknesses in DeFi protocols. As cross-chain transactions grow, crypto bridge security becomes paramount. Such incidents significantly erode investor confidence in decentralized finance solutions. ## Sources covering this story - https://incrypted.com/proekt-allbridge-core-byl-vzloman-na-1-65-mln/ — --- _Summary written by Brifing from the original reporting. Copyright in the original article belongs to its publisher; read the full piece at the link above._