Resolv Labs Burns 9 Million Illicitly Minted USR Tokens After Security Breach

Resolv Labs said a security incident allowed an attacker to access its infrastructure using stolen private keys and mint roughly $80 million worth of unissued USR. The team paused the affected smart contracts and burned about 9 million USR held by the attacker to limit potential fallout. Resolv reported the protocol holds around $141 million in assets, with verified realized losses capped at about $500,000 from redemptions processed before the pause. It said USR supply includes 102 million tokens outstanding before the incident and about 71 million tokens that were illicitly minted. As an initial recovery step, Resolv plans to re-enable redemptions for pre-incident USR for whitelisted users starting March 23, 2026. Impacted users are instructed to coordinate directly with RDAL via official channels. The company attributed the breach to unauthorized third-party activity, including targeted attacks on its infrastructure, and said underlying collateral remains unaffected. Resolv added it is tracking and seeking to contain the illicitly minted USR and any other impacted assets, coordinating with partners and counterparties, and working with law enforcement and on-chain analytics firms to identify those responsible. Resolv urged users not to trade USR or any related Resolv tokens during the recovery period, warning that post-incident trading activity could affect the recovery process.