Update on the pearl-2:native network breach: On July 1. the team added support for MoE which extends the GEMM based pearl network POW. In ML a MoE is an architecture that splits the model weights across a subset of smaller "experts" / nodes. The same is done via the Pearl Network, but with a change: instead of a single dense matrix multiply covering all tokens in one pass, the workload is split across experts, and each token is routed in a more efficient way. The Exploit: Cheating miners found a way to drastically reduce the actual computational work required while retaining the same network weight. It allowed them to generate massive amounts of artificial "hashrate." For comparison, a regular RTX 5090 graphics card legitimately generates around 460 TH/s, but with this exploit, it could effortlessly fake 100 PH/s - making it over 200 times faster. As flagged in my original post it seems to be the case that a group / individual has exploited this leak in the last few days since the inception of the MoE integration. This exploit was only noticed by the community following huge spikes in network hashrate which correlated with spikes in Kryptex pool hashrate. However, another point I mentioned was the number of solo miners. In the last 3 days around 220 solo miners have found around 780 blocks. Of those 780 blocks 325 can be linked to one big cluster (51 addresses). Since before that almost nobody was mining solo it would make sense that those wallets were connected to an exploiter. In total the cluster involved consolidated the pearl-2:native onto connected wallets worth around 1 million pearl-2:native. (Information provided without guarantee, my ai agents did the research lol) Fix: One hour ago the team prepared a soft fork to fix the exploit. github.com/pearl-research-la… Conclusion: Exploit is relatively small but without the exploiters getting to greedy and network hashrate showing signs nobody would have been able to tell. Theres currently upwind in the community since the team was denying any exploit claims and didnt act in a rush. Kryptex position also stays with a question mark. There is no evidence yet that they themself were involved even if it resonates. Maybe they just farmed the exploiters mining pool fees. The team is preparing an official statement which I would expect in the next 24 hours.