Talis Protocol, an NFT marketplace operating on the Injective blockchain, has suspended all new listings and auctions following a security breach. The incident, which occurred on October 31, 2026, involved an attacker exploiting vulnerabilities within the platform's marketplace and auction smart contracts.
The attacker successfully withdrew approximately 5,700 escrowed NFTs. Most of these assets were immediately sold through open collection offers, primarily to automated bid bots, at a price of about 2 cents each. The total proceeds from the exploit amounted to 445 INJ, valued at approximately $3,100 at the time of the incident.
In response, Talis Protocol has paused operations across all supported blockchain networks as a precautionary measure. The company is currently working on a recovery plan that includes returning the stolen NFTs to their original owners and compensating affected bidders. The platform is also in the process of returning over 26,000 escrowed NFTs to users.
A patched version of the platform's smart contract is currently undergoing a pre-deployment review. Talis plans to release a full postmortem report and a list of the affected digital assets. Users have been advised to refrain from purchasing any NFTs impacted by the exploit while the recovery process is ongoing.
