Sebastian Sinclair

<div id="highlights-block_629d4ab9fdace" class="highlights">
 <ul>
 <li>The main DEX deployed on the Elrond Network has been taken offline amid an investigation of &#8220;suspicious activity&#8221;</li>
 <li>The DEX&#8217;s native token fell more than 90% late Sunday evening while Elrond Network&#8217;s token dropped 7%</li>
 </ul>
 
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The native token belonging to smart contracts platform Elrond Network shed more than 7% of its value Sunday as Maiar, the decentralized exchange deployed on Elrond, underwent maintenance.



Founder and CEO of Elrond, Beniamin Mincu, <a href="https://twitter.com/beniaminmincu/status/1533598583001337863?s=20&amp;t=0E71Kn4fh82CgGhECLwXHw" target="_blank" rel="noreferrer noopener">tweeted</a> Sunday his team was investigating &#8220;suspicious activity&#8221; on Maiar and would provide an update &#8220;soon.&#8221;



&#8220;Identified the potential issue, and working on an emergency fix,&#8221; Mincu said in a later <a href="https://twitter.com/beniaminmincu/status/1533658926557847552?s=20&amp;t=-39Uw2aZDaIjSAtvkeKpAw" target="_blank" rel="noreferrer noopener">tweet</a>.



Blockworks confirmed that Maiar has gone offline by way of a &#8220;<a href="https://maiar.exchange/" target="_blank" rel="noreferrer noopener">scheduled maintenance</a>&#8221; with an accompanying message on its site claiming that &#8220;operations will resume shortly.&#8221; The exchange has remained offline for more than seven hours.



Speculation is mounting, with some Elrond proponents alleging a potential <a href="https://twitter.com/BoomerRang54/status/1533642437402427397?s=20&amp;t=adDFW2mg1ryYrJc5l8apIQ" target="_blank" rel="noreferrer noopener">exploit</a>. Elrond is promising to update users once a fix has been implemented.



<figure class="wp-block-embed is-type-rich is-provider-twitter wp-block-embed-twitter"><div class="wp-block-embed__wrapper">
<blockquote class="twitter-tweet" data-width="550" data-dnt="true">This might be an exploit of the Maiar DEX or SC async calls (problem reported earlier by some devs on Lottery type Smart-Contracts) There might be a way to &quot;hide&quot; some transactions / call funds out of nowhere (still under investigation) Waiting for the team&#39;s official response&mdash; ⚡Anduu.elrond (@AnduTabacu) <a href="https://twitter.com/AnduTabacu/status/1533638069458550784?ref_src=twsrc%5Etfw">June 6, 2022</a></blockquote><script async src="https://platform.twitter.com/widgets.js" charset="utf-8"></script>
</div></figure>



Both the Elrond token (EGLD) and the native token of the Maiar DEX (MEX) are down on the day, with MEX having yet to recover from a considerable drop in price where it shed 90% of its value late Sunday evening. 



EGLD remains down from around $75 seen at 9:00 pm UTC to $72.30.



Launched late last year, Maiar coincided with a liquidity incentive program totaling $1.29 billion in MEX tokens in a bid to curry activity on the new exchange. Smart contracts built for Maiar and deployed on Elrond were touted at the time of the launch as having undergone &#8220;<a href="https://elrond.com/blog/elrond-superwave-1-billion-usd-incentive-maiar-dex/" target="_blank" rel="noreferrer noopener">rigorous auditing and formal verification</a>.&#8221;



Blockworks attempted to contact the team at Elrond but did not receive a reply by press time.



This story is developing and will be updated accordingly.



Correction on June 6, 2022, at 3:40 am ET: Elrond&#8217;s token trades as EGLD.



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