Qubic freezes blockchain operations after wallet seed flaw drains $1.4 million

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Qubic freezes after wallet breach

Highlights

Qubic froze blockchain operations at tick 85,371,949 after attackers exploited a wallet seed flaw to steal 2.94 trillion Qubit, valued at roughly $1.4 million.
The vulnerability affected wallet seeds generated on iPhone, iPad, Safari on Mac (until Oct. 18, 2026), and Qubic iOS app (before July 2025); Qubic fixed the flaw by updating to a cryptographically secure seed-generation method.
Of the stolen funds, 87.1% remain frozen on Qubic and 12.9% were frozen on MEXC, while Qubic's team is preparing recovery options to be decided by network Computors in a future vote.

Network halt and wallet vulnerability details

As reported by Cointelegraph, citing Qubic in a statement on X, the network stopped at tick 85,371,949 on Sunday and remains paused at the time of writing after attackers stole about 2.94 trillion Qubit, or roughly $1.4 million, from affected wallets.

Qubic said the flaw impacted wallet seeds generated using any browser on an iPhone or iPad, Safari on a Mac until Oct. 18, 2026, or the Qubic iOS app before July 2025. The project said 87.1% of the drained funds never left the Qubic network and remain frozen, while the remaining 12.9% was transferred to MEXC, where the receiving account was frozen by the exchange team.

The project said it has fixed the seed-generation issue in the latest version of its web wallet. A GitHub commit for version 4.26.4 shows Qubic replaced JavaScript's Math.random() function with crypto.getRandomValues() when creating wallet seeds, reflecting a shift to a cryptographically secure method.

Recovery planning and broader crypto security impact

Qubic said its core team is identifying affected wallets and preparing recovery options for a vote by the network's Computors, which will decide what happens to the frozen funds. The team also said it will publish a full technical report after a recovery plan is settled, but it has not announced when the network will restart.

Qubic operates as a fee-free layer-1 blockchain for transactions and smart contracts and uses Useful Proof of Work, or UPoW, a consensus model designed to repurpose mining energy to train artificial intelligence. Its token had a market capitalization of about $62.6 million at the time of writing, according to CoinGecko.

The incident adds to a wider pattern of crypto thefts linked to weak wallet seed generation. In the third quarter, hacks and exploits accounted for 19% of crypto crime cases but 40% of reported losses, according to AMLBot's 2026 investigations report covering 250 investigations opened since the start of the year.

Our earlier article on Cohere’s planned acquisition of AI cybersecurity startup AISLE explained how the deal would add AI-driven software vulnerability detection to Cohere’s broader enterprise AI buildout alongside its merger with Aleph Alpha. We noted that AISLE’s research-focused approach had already uncovered hundreds of previously unknown bugs, underscoring how proactive security tooling is becoming central as AI capabilities—and attack surfaces—expand.

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