Balance Stablecoin Collapses After Bitcoin Vault Is Drained

Balance Stablecoin Collapses After Bitcoin Vault Is Drained CryptoProwl Wed, July 22, 2026 at 5:42 PM GMT+2 1 min read BTC BLC Balance Stablecoin Collapses After Bitcoin Vault Is Drained Balance Coin (CRYPTO: $BLC), a low circulation stablecoin meant to hold a U. S. dollar peg, has crashed more than 99% after a hacker drained its Bitcoin (CRYPTO: $BTC) vault.

The token, which had traded near its $1 U. S. peg, has fallen to $0.

0014 U. S. , erasing nearly all of its $3.

5 million U. S. in nominal value.

The collapse comes after a hacker drained Balance Coin's Bitcoin-backed collateral that it had used to mint the stablecoin. More From Cryptoprowl: MEXC Reports 7. 1 Billion USDT in SpaceX Futures Volume as Q2 Closes the Gap to Wall Street SBI Group, DigiFT, and Startale Group Advance Tokenized Capital Markets with JPYSC-Powered Settlement and Onchain Dividend Distribution MEXC Adds Five Ondo Tokenized Stocks Spanning Semiconductors to Power Infrastructure Hyperliquid To Add Decentralized Prediction Market TokenInsight Q2 2026 Report: TradFi Momentum Lifts MEXC to No.

2 in Commodity Perpetuals In a sophisticated attack, the unknown hacker quickly liquidated multiple Bitcoin vaults that should never have been accessible, then swapped the seized crypto for a cash profit. The exploit occurs amid growing scrutiny of crypto security as artificial intelligence (A. I.

) systems grow more capable and the number of attacks increase. It's not clear what Balance Coin plans to do in the wake of the attack and the collapse of the stablecoin. Stablecoins are cryptocurrencies whose value is pegged to another asset, typically the U.

S. dollar, the world's reserve currency. Bitcoin is trading at $65,900 U.

S. on July 22.