$7 Million Vanishes in Liquidity Hack Targeting Odin.fun Memecoin Launchpad

Odin.fun Suffers $7M Bitcoin Exploit After Liquidity Pool Manipulation

Memecoin launchpad Odin.fun was exploited for 58.2 BTC (approximately $7 million) after attackers manipulated its automated market maker (AMM) system by inflating token prices through a thin liquidity pool. The exploit is being linked to coordinated actors associated with China-based hacking groups.

According to co-founder Bob Bodily, the vulnerability was introduced in a recent platform update. Attackers deposited low-value tokens like SATOSHI alongside BTC to distort internal price ratios, allowing them to withdraw outsized amounts of BTC at artificially high valuations. The platform’s reserves dropped from 291 BTC to 232.8 BTC in under two hours.

“This was a major exploit introduced in our latest AMM update,” Bodily confirmed on X, noting that several accounts tied to Chinese entities coordinated the attack.

The manipulation relied on Odin’s AMM design, which lacks external price feeds and calculates token values solely on internal liquidity ratios—a structure particularly vulnerable in shallow pools.

The breach was first flagged by a community user who observed irregular liquidity movement. Odin.fun has since frozen affected accounts and launched an internal investigation, alongside a full security audit expected to take about a week.

Bodily admitted that the platform’s treasury cannot fully absorb the losses and that the team is developing a “concrete plan” to compensate impacted users. Odin is also cooperating with U.S. law enforcement and has enlisted the help of Binance and OKX, who are working with Chinese authorities to trace and potentially freeze the stolen funds.