Shares of iShares Bitcoin Trust ETF dropped to $34.77, down 3.1%, as a major security breach at blockchain project Humanity Protocol triggered a broad crypto sell-off, compounding profit-taking after Bitcoin's sharp rebound just one day earlier. IBIT Drops 3% as a $36 Million Crypto Hack Reignites Security Fears — Is the Worst Over for Bitcoin's Biggest ETF?
Shares slid to $34.77 in early trading, erasing most of yesterday's bounce, as a brazen hack of blockchain identity project Humanity Protocol sent a chill through crypto markets already weakened by weeks of institutional selling. For IBIT holders — who own a slice of actual Bitcoin through BlackRock's fund — the question is whether this is a passing scare or another crack in the case for digital assets.
A Stolen Laptop Wiped Out $36 Million and Spooked an Entire Market. Humanity Protocol's token crashed more than 80% after attackers compromised private keys, seized bridge controls, and stole more than $36 million across Ethereum and BNB Chain.
The attack was traced to a breach that occurred "after an employee's laptop was compromised." While IBIT holds only Bitcoin — not smaller tokens — the incident triggered a risk-off wave across all crypto assets. Bitcoin itself is trading near $62,600, down roughly $924 from yesterday morning.
2026's Hack Epidemic Is Eroding Trust Just When Bitcoin Needs It Most. Through May, cumulative DeFi hack losses in 2026 had already exceeded $840 million across more than 50 incidents — a 70% year-over-year increase. The Humanity breach pushes that total past $875 million. For IBIT, that matters because hack headlines accelerate outflows: U.S. spot Bitcoin ETFs hemorrhaged a historic $3.4 billion in net outflows during a single week in early June — the biggest weekly exodus since the products launched in January 2024.
The main blow hit BlackRock's IBIT, which lost approximately $3.3 billion over 13 days, about 75% of the total outflow.
Monday's Rally Was Short-Lived — Profit-Taking Hit Fast. IBIT jumped 5.1% from $34.14 to $35.89 on June 8 as short-sellers covered their bets. Today's 3.1% drop shows that bounce had little conviction behind it. The fund is now down roughly 8.6% over five sessions from its June 2 close of $38.05, tracking Bitcoin's slide from above $65,000 to around $63,000.
Smart Money Is Divided, and That Could Be the Silver Lining. Strategy bought 1,550 BTC just a week after a small sale, raising $181 million through stock sales to fund it; the company now holds about 845,256 BTC.
Cumulative spot ETF inflows since January 2024 still total $58.72 billion , showing the long-term institutional commitment hasn't vanished. But with the Fear and Greed Index at 10 — deep in extreme fear — IBIT shareholders face a familiar crypto dilemma: buy the panic or respect the trend.