Security incident halts Cosmos EVM chains; investigation ongoing with no loss figures yet

Cosmos Labs is addressing a security incident impacting its Cosmos EVM module, prompting affected chains to halt validator operations while investigations continue. No specific vulnerability or affected chains have been publicly disclosed, and no losses have been reported so far. This follows previous security issues in 2026, including a $7 million exploit in January and recent disruptions in August. Cosmos Labs plans to release a full post-mortem report to guide when normal operations can safely resume, with market confidence currently subdued due to uncertainty.