Key Highlights
- Crypto protocol Balancer suffered a $128 million hack.
- Hackers compromised access control mechanisms within the protocol.
- The incident occurred as crypto crime surged in 2025.
- Ripple launched digital asset spot prime brokerage capabilities for U.S. market.
Major Hack on Crypto Protocol Balancer
Crypto protocol Balancer, a decentralized finance (DeFi) platform with a significant presence in the blockchain ecosystem since 2020, has fallen victim to a massive hack, losing $128 million. According to Bloomberg, security researchers from PeckShield and Cyvers confirmed the exploit, stating that the ongoing drain likely stems from a compromise of access control mechanisms within the protocol, enabling attackers to manipulate balances directly.
Balancer, which holds over $350 million in value in Ethereum alone, has been actively addressing the incident. The platform’s engineering and security teams are investigating the exploit with high priority as Balancer confirmed the issue on social media platform X. Despite ongoing efforts to re-establish control, the exploit continues.
Ripple Launches OTC Spot Brokerage for U.S. Market
In a related development, Ripple has launched digital asset spot prime brokerage capabilities for the United States market. This move follows Ripple’s acquisition of multi-asset prime brokerage firm Hidden Road in October 2025. The combined solution under Ripple Prime now offers institutions access to foreign exchange (FX), digital assets, derivatives, swaps, and fixed income.
“The launch of OTC spot execution capabilities complements our existing suite of OTC and cleared derivatives services in digital assets and positions us to provide U.S. institutions with a comprehensive offering to suit their trading strategies and needs,” stated Michael Higgins, international CEO of Ripple Prime.
Crypto Crime Surge Fuels Industry Concerns
The Balancer hack comes as the industry grapples with a significant surge in crypto-related crimes. According to blockchain intelligence company Chainalysis, over $2.17 billion was stolen from cryptocurrency services by mid-2025, making it more devastating than the entirety of 2024. By June 2025, the value stolen year-to-date had increased by 17% compared to 2022, marking the worst year on record.
“Opportunistically targeting individual users and physical violence or coercion against crypto holders are increasingly correlated with movements in the price of bitcoin,” Chainalysis noted. This suggests that attackers may target high-value periods opportunistically.
Ripple’s Strategic Move in Digital Asset Market
Ripple’s strategic acquisition of Hidden Road was aimed at turning the brokerage into the largest nonbank prime broker globally, with Hidden Road clearing $3 trillion per year across markets and serving over 300 institutional customers. This integration is part of Ripple’s broader efforts to bridge traditional finance and decentralized finance (DeFi).
“Our partners and customers are redefining how urgent aid, sustainable development, and financial support reach those who need it most,” said Monica Long, Ripple President. The company now has 64 active licenses and is awaiting permissions from another 11 jurisdictions.
Conclusion
The Balancer hack and Ripple’s strategic moves highlight the ongoing challenges and opportunities within the crypto space as regulations continue to evolve. While security breaches and thefts are a pressing concern, initiatives like Ripple’s prime brokerage underscore the industry’s efforts to create more robust and secure infrastructure for digital assets.
