IoTeX has confirmed it is investigating unusual activity linked to one of its token safes after onchain analysts raised concerns about a possible security breach. In a statement shared on X, the team said it is “fully engaged” and working around the clock to assess and contain the situation, adding that early estimates suggest the potential losses are lower than circulating rumors.

The project also revealed it has coordinated with major exchanges and security partners to trace and potentially freeze funds connected to the suspected attacker. Following the news, IoTeX’s native token IOTX fell more than 8% within 24 hours, dropping to around $0.0049, according to CoinMarketCap data.