An attacker used a $1.12 million flash loan sourced from Kamino Finance on Solana to manipulate Allbridge's stablecoin pool pricing, extract funds, and bridge the proceeds to Ethereum before the protocol could respond. Allbridge subsequently halted its Core Bridge product. Security firms confirmed the exploit, which caused approximately $1.65 million in losses and exposed the fragility of cross-chain liquidity pools under flash loan pressure.
Armada's crypto repo desk holds SOL as eligible collateral, and any liquidation or rebalancing workflow that touches Solana-to-Ethereum bridging infrastructure carries residual exposure to similar protocol vulnerabilities. Fireblocks custody policies should be verified to confirm SOL collateral movement does not depend on third-party bridge protocols flagged in this incident.