A Swiss asset management company has been hit by a significant exploit, with the firm reporting approximately $41 million USD ($62 million AUD) worth of Solana has been stolen.
The incident occurred yesterday when hackers targeted a vulnerability in one of the team’s staking partners’ API code.
The partner, Kiln, offers ‘enterprise-grade staking’ on several chains, although it predominantly services assets on Solana and Ethereum.
SwissBorg relied upon Kiln’s API to seamlessly connect its assets to the Solana DeFi ecosystem, powering strong yields for its AUM. However, this third-party involvement opened the door for hackers to manipulate the API and siphon funds initially intended for Solana’s protocol.
Related: Kinto Shuts Down After $1.55M Exploit Derails Recovery Efforts
While a hack in the tens of millions is no doubt a major blow for any company operating in the Web3 space, SwissBorg has maintained its operations are unaffected by the hack.
Notably, the team has already begun the process of reclaiming funds and ensuring customer assets are secure – reporting that assets held in both the SwissBorg app and Earn program are 100% healthy.
SOL Earn Incident & SwissBorg Recovery Plan
— SwissBorg (@swissborg) September 8, 2025
A partner API was compromised, impacting our SOL Earn Program (~193k SOL, <1% of users).Rest assured, the SwissBorg app remains fully secure and all other funds in Earn programs are 100% safe.
Our recovery plan.
Immediate Actions…
There are two primary levers the firm will pull. First, they will attempt to recover the stolen funds by employing security agencies and white hat (ethical) hackers.
Additionally, SwissBorg maintains a strong treasury of SOL as a contingency for events such as this hack, meaning that users who have been impacted will be compensated a vast majority of their funds as quickly as possible. At this stage, it appears that all customers affected will be fully reimbursed by treasury holdings alone.
Despite SwissBorg moving quickly to douse the fires, some in the community have criticised the firm’s response.
In particular, customers on social media have lambasted the company’s attempt to ‘step blame’, by largely focussing on Kiln’s role in the incident. As one commentator suggests, SwissBorg employed Kiln’s API to assist with their staking processes, which means that, to some, the wealth management team is still ultimately responsible for the hack.
@swissborg
— meme_hodler
Your announcement about the SOL Earn incident raises some serious red flags.
Kudos for moving fast with the recovery plan using your SOL treasury and hiring white-hat hackers is a decent start. Good to know the app and other Earn funds are safe.
But why are you…(@meme_hodler_way) September 8, 2025
However, others praised SwissBorg’s quick response and transparent communication.
The post SwissBorg Hit by $41M Solana Hack via Kiln API Exploit appeared first on Crypto News Australia.
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