ALEX Protocol Loses $8.37M in Hack Due to Security Flaw

On June 6, 2025, ALEX, the leading Bitcoin DeFi platform on Stacks, was exploited because of a problem in its self-listing verification process. They managed to steal assets worth more than $8.37 million, including 8.4 million STX, 21.85 sBTC and several types of stablecoins like USDC/USDT and WBTC.

According to the official announcement from ALEXLabBTC, the issue stemmed from an on-chain limitation on Stacks, which allowed the exploit to bypass listing rules. Even though there was a breach, ALEX is covering the losses and will pay back all affected users 100% in USDC from the ALEX Lab Foundation’s funds.