The USR stablecoin, developed by Resolv Labs, has faced a significant loss of its peg to the US dollar following a serious hacking attack, during which the attacker managed to illegally create tens of millions of unsecured tokens and withdraw a substantial amount of funds in cryptocurrency.
This is reported by Finway
How the Hack and Mass Emission of USR Occurred
The incident took place on March 22, 2026. According to the company, due to a vulnerability in the smart contract, the hacker was initially able to deposit only $100,000 in the USDC stablecoin, after which they issued approximately 50 million USR tokens. Subsequently, analysts from PeckShield recorded that the total volume of created USR reached around 80 million. This was made possible due to a breach in the asset issuance mechanism – experts from D2 Finance are considering potential causes such as the compromise of the oracle, a failure in the external transaction confirmation scheme, or a lack of proper verification of the amount during issuance.
After acquiring a significant volume of tokens, the criminal quickly distributed about 50 million USR through various DeFi protocols, where they exchanged them for USDC and USDT, and then converted them into Ethereum. Some tokens were sold at a steep discount, leading to a sharp decline in the value of USR.
“The team has currently suspended all protocol functions to prevent further malicious actions and is actively working on recovery,” stated Resolv Labs.
Decline of USR Price and Market Implications
Amid panic selling, the price of USR in the Curve Finance pool dropped to $0.025 just minutes after the attack began. According to experts from D2 Finance, this situation serves as a classic example of a DeFi protocol hack followed by a rapid withdrawal of funds. Estimates suggest that the hacker gained at least $25 million.
At the time of publication, the USR token is trading at around $0.04, failing to regain its peg to the dollar. The incident occurred against the backdrop of a decrease in the overall number of crypto hacks in February 2026; however, specialists emphasize that attacks on DeFi platforms continue to pose a significant risk to the market and users.
Previously, fake tokens with threats from the FBI regarding asset blocking were discovered on the TRON network.