Cardano (ADA) News: Network Splits in Two as Attacker Uses AI-Generated Script to Exploit Bug
Summary
The Cardano network experienced a temporary chain split when newer node versions accepted a malformed transaction that older versions rejected, exploiting a bug in an underlying software library. This divergence created a "poisoned" ledger chain and a parallel "healthy" chain, prompting an emergency patch and upgrade instructions for operators. Cardano co-founder Charles Hoskinson suggested the incident was a targeted attack by a disgruntled stake-pool operator. An individual claiming responsibility stated they used AI-generated commands and acted alone, expressing shame for the resulting disruption, which included exchanges pausing services and ADA's price falling over 6%. While block producers lost rewards and DeFi protocols faced inconsistencies, Intersect confirmed no user funds were lost, as most retail wallets were insulated from the malformed transaction.
(Source:CoinDesk)