Humanity Protocol drops over 80% after a $32 million hack

The cryptocurrency sector faces a new major security incident. Humanity Protocol, a project specializing in decentralized identity, has suffered a significant compromise leading to the theft of over $32 million. Following this attack, the H token lost more than 80% of its value within a few hours. The event once again highlights the risks related to private keys, now at the center of several major attacks observed this year.

Humanity Protocol at the heart of an attack emptying multiple wallets

The Humanity Protocol project confirmed a major compromise in an already tense context for the crypto market. A hacker obtained the private keys of a member of its foundation, which allowed access to several protocol-linked wallets.

According to blockchain data relayed by Coindesk, around 17 wallets were drained. Losses now exceed $32 million. The attackers then sold the stolen H tokens for ether, significantly increasing selling pressure in the market.

This situation caused a rapid price drop of the token. The price fell from around $0.67 to nearly $0.13. During the session, the token even briefly touched $0.05. For Humanity, this decline represents one of the most difficult episodes since the project’s launch.

H token weakened by sales and new tokens

Alongside the sales made by hackers, the Humanity Protocol team also has to manage another risk factor. On-chain data shows that 100 million additional H tokens were issued on the BNB Chain, with an estimated value of about $11 million.

Faced with this situation, Humanity Protocol asked its users to temporarily suspend the use of its cross-chain bridge as well as its liquidity pools. It also specified that it is working with cybersecurity companies and several exchange partners to contain the consequences of the attack.

The protocol is known for its decentralized identity system based on palm scanning and zero-knowledge cryptography. Thanks to this approach, Humanity aims to enable users to prove their identity without revealing their personal information.

Private key thefts dominate crypto incidents in 2026

This attack fits a broader trend observed since the beginning of the year. The sector’s largest losses now come from private key thefts rather than vulnerabilities in protocol code.

In this context, Humanity Protocol joins the list of projects affected by this type of incident. Tokenomist data also shows that about 266 million H tokens, valued at nearly $28 million, are scheduled to be unlocked on June 25 through various allocations linked to treasury and strategic reserves.

Before this event, Humanity had raised $50 million from 27 investors. While the theft was ongoing, the H token price was around $0.13, down about 82% for the day. At the time of the reaction, the price fluctuates around $0.05.

The investigation’s progress, the protocol team’s management of the incident, and the upcoming arrival of new tokens on the market will now be closely monitored to assess the medium-term consequences of this attack on the project’s ecosystem.