Loopscale, a lending protocol on Solana, has paused protocol activity after a week-long attack campaign aimed at its SOL and USDC Genesis Vaults. In a statement on X on 5 November 2026, Loopscale said the affected vaults "have been made whole" and that no user deposits have incurred a loss. Borrowers cannot repay loans while the pause holds, and Loopscale says it is working to restore repayments as soon as possible.
What Loopscale says happened to its SOL and USDC Genesis Vaults
Loopscale says a "sophisticated actor" has targeted the protocol for the past week, with Loopscale's APIs receiving more than 30,000 malicious requests per day. On 5 November, according to the statement, Loopscale's security systems detected "a significant escalation in the campaign" and the team paused protocol activity to limit the impact. Loopscale said the attack attempts were aimed at the SOL and USDC Genesis Vaults, its original lending vaults for SOL and USDC depositors, whose funds are lent out to borrowers.
Loopscale published four addresses it has linked to the activity, two on Solana and two on EVM chains:
- 247Lk5YNH9URfBBvxVUtDruz8GvGX8gKGuYHVCZThpiR (Solana)
- AzPh2dUV3duK9n8PWV6CxKMwWr9Rk7fxPNBZuv1CiwMr (Solana)
- 0xb8959Aca4e4C796A3BaDA66833eAe60b1BC0bfb2 (EVM)
- 0xB7Ec7eF24FD73f3000C651CA9D0Fa45b61DcF854 (EVM)
The team says it is "actively engaged with federal law enforcement and security professionals."
Loopscale repayments paused: the liquidation risk for borrowers
While Loopscale is paused, borrowers cannot repay their loans, so a move in collateral prices could push a position towards liquidation, where collateral is sold to cover the debt. Loopscale's statement says the team is "working to resume repayment functionality as soon as possible to mitigate unforeseen liquidations," and that it will re-enable the protocol interface "shortly." Full service is further off: Loopscale will not resume normal operations until it has "established the complete scope of the campaign and implemented further security hardening," and it gave no date for that.
Second incident on the Genesis Vaults since Loopscale's April 2025 launch
This is the second time the same two vaults have been at the centre of a security incident. About two weeks after Loopscale launched in April 2025, an attacker took about $5.8 million, roughly 5.7 million USDC and 1,200 SOL, from the USDC and SOL Genesis Vaults by using mispriced RateX PT tokens as collateral. The attacker accepted a 10% bounty and returned the funds, according to Halborn's analysis of the April 2025 exploit. Loopscale has since grown its Earn product, adding Curated Vaults run by third-party managers on top of its fixed-rate, order-book lending markets.
Loopscale held around $89.5 million in total value locked on 5 November, according to DefiLlama, up from about $79.2 million 30 days earlier. The pause comes a month after Orca ORCA$1.37-10.1% and Loopscale announced a merger to form Formation, with Luke Truitt named as Formation's chief executive.
What to watch: Loopscale's interface, repayments and post-mortem
Loopscale says it will share "relevant information and material updates as they become available," and its X account carried the 5 November statement. The updates to watch for are the interface coming back online, repayments resuming so borrowers can manage their positions, and a post-mortem that sets out how the campaign worked and what hardening Loopscale has added before normal lending restarts.
