Zilliqa has confirmed a security incident in which ZIL tokens were stolen from a cold wallet belonging to one of its exchange partners. The news triggered immediate market reaction, with the token now trading approximately 7% lower in the last 24 hours.
The Zilliqa team announced today that it is investigating a breach involving an unnamed exchange partner. As a precaution, all exchanges have been instructed to temporarily pause ZIL deposits and withdrawals.
A similar precautionary suspension followed the ZetaChain GatewayEVM hack, when the protocol paused cross-chain transactions after approximately $300,000 was taken from team-controlled wallets.
We have been made aware of a security incident involving one of our exchange partners, in which ZIL was stolen from a cold wallet.
The incident is under active investigation, and we are working with the relevant parties to establish the root cause and full scope. As a…
— Zilliqa (@zilliqa) July 20, 2026
In its official statement, Zilliqa said the incident is under active investigation to establish the root cause and full scope of the theft. The amount stolen and the identity of the affected exchange have not been disclosed yet.
Market Impact
Following the announcement, ZIL experienced notable selling pressure. The token is currently down around 7% in the last 24 hours. Below is a screenshot of the Zilliqa pricing chart showing today’s price movement:
Key Details
- Theft occurred from a cold wallet of an exchange partner.
- Investigation is ongoing with relevant parties.
- Exchanges have paused ZIL deposits and withdrawals as precaution.
Cold wallet breaches are relatively rare but highlight the ongoing security challenges in the cryptocurrency space. Another wallet-security incident involved a $7 million Trust Wallet hack, though Zilliqa has not disclosed whether the latest theft involved a similar attack method.
This is a developing story. More details are expected as the investigation progresses.
Users are advised to check their exchange platforms for updates on trading suspensions.
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