KITE halts Ethereum mainnet transfers in exploit response

The Kite Foundation shared on X on August 6 that it caught and shut down an attack on its KITE token running on Ethereum mainnet. It stated that no tokens were taken. For a project that spent early 2026 as one of the few new tokens climbing into the top 100, the incident is an unwelcome entry into a summer defined by hacks.

KITE now joins Boltz, AQUA, ZEUS, and a growing list of DeFi protocols that have been probed or drained over the past two weeks. 

No coins lost, but the alarm came from mainnet

According to the foundation’s post on X, its security monitoring picked up unusual KITE transfer activity on Ethereum mainnet, flagged it, and shut the attack down before any tokens moved. 

It wrote, “It was identified and contained immediately, and no tokens were lost.” 

Kite AI has been running a live bug bounty on Sherlock since July 20, offering up to 10,000 USDC for reported flaws. The platform also had a CertiK security rating of 4.2 on its token page, a sign that the project had put audit infrastructure in place before this week’s alert.

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