UPCX has suspended all deposits and withdrawals after a $70 million exploit compromised its infrastructure. The attack targeted administrative-level smart contract functions, exposing deeper risks in platform security architecture.

$70M gone in minutes

Attacker gains admin access and drains funds via ProxyAdmin contract

On April 1, Cyvers Security flagged unauthorized activity involving 18.4 million UPC tokens. The breach stemmed from a compromised administrative wallet, which was used to alter the ProxyAdmin contract and execute a hidden withdrawal function.

The stolen tokens—valued at $70 million—were siphoned from three management accounts and remain in a single wallet. No attempts have been made to sell or transfer them further as of reporting.

UPCX responds with platform shutdown

https://x.com/Upcxofficial/status/1907024397497749647

Team suspends all activity and confirms user funds remain safe

UPCX stated it acted immediately after detecting the breach, suspending all deposits and transactions. The company claims that personal user assets were not affected and an internal investigation is underway.

The incident triggered a 7% drop in UPC token price, falling from $4.06 to $3.77, according to CoinGecko. The project has yet to announce any compensation or recovery plans.

Admin-level exploits on the rise

Web3 platforms increasingly vulnerable to internal attack vectors

This breach follows a disturbing pattern: attackers are no longer only exploiting smart contract bugs, but administrative roles and governance functions.

Without strict role-based access controls, platforms expose themselves to catastrophic losses even from a single wallet compromise.

Long-term trust implications

Security failures can damage brand confidence for years

UPCX must now face the challenge of restoring user confidence. With no clear resolution or audit plan released, traders are calling for transparency and better access control standards.

Incidents like this also prompt the broader crypto ecosystem to rethink how smart contracts and wallet permissions are managed across DeFi and payments platforms.

Conclusion: a warning shot to all Web3 platforms

Administrative security must become a priority, not an afterthought

UPCX’s exploit wasn’t due to market volatility or user error—it came from deep within its own system. As Web3 grows, ensuring the safety of administrative protocols and smart contract controls is essential.

Without it, millions—or billions—could disappear at the click of a button.