Woofun AI reports that Allbridge has temporarily suspended its Core protocol following a flash loan attack resulting in approximately $1.65 million in losses from the Solana stablecoin liquidity pool. Security firms PeckShield and CertiK identified that the attacker utilized $1.12 million in flash loans from the Kamino lending protocol to manipulate price mechanisms, swapping USDT for $2.24 million in USDC before bridging the assets to Ethereum.

Allbridge has advised affected liquidity providers to withdraw their funds immediately due to pool imbalance, while urging arbitrageurs to return profits for compensation. The team confirmed user funds are secure and plans to relaunch the protocol without the compromised pool. This marks the second such incident for Allbridge, following a $573,000 loss on BNB Chain in April 2023.