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Taiko Ethereum Layer 2 Halts Block Production After Exploit, Urges Fund Withdrawals

6/22/2026

Taiko, an Ethereum ($ETH) layer-2 network, halted block production following an exploit and directed users to withdraw their funds.

Onchain security firm Blockaid identified a potential flaw in Taiko bridge's source-signal proof validation as the likely root cause of the incident.

Block Production Suspended, Users Put on Notice Taiko's decision to stop producing blocks is a significant operational step — layer-2 networks derive much of their value from continuous transaction throughput settled back to Ethereum.

A halt effectively freezes activity on the chain.