THE - -505.55% 24-Hour Drop Amid Network Upgrade Delays and Security Concerns

On AUG 25 2025, THE dropped by 505.55% within 24 hours to reach $0.385, THE dropped by 662.14% within 7 days, rose by 15.61% within 1 month, and dropped by 7716.22% within 1 year.

Network Upgrade Postponed Triggers Investor Uncertainty

The development team behind THE announced the indefinite postponement of its highly anticipated network upgrade, originally scheduled for early August. The update was intended to introduce a new consensus mechanism and enhance transaction throughput. However, the team cited unresolved bugs in the testnet and security vulnerabilities in the current smart contract framework as the primary reasons for the delay. The announcement led to immediate sell pressure, exacerbating the asset’s sharp price correction.

Security Audit Finds Critical Flaws in Wallet Infrastructure

A third-party security firm contracted by the project team disclosed the presence of critical vulnerabilities within THE’s wallet infrastructure. The report highlighted issues that could allow attackers to bypass multi-signature protections and access user funds. While the team has stated it is working on a patch, the lack of a clear timeline has raised concerns over potential exploits. Investors expressed frustration over the delay in addressing these weaknesses, which had been flagged in an earlier internal audit.

Governance Vote Fails to Pass Key Network Changes

A recent on-chain governance proposal to transition to a new tokenomics model failed to secure the required threshold for activation. The proposal aimed to reallocate a portion of transaction fees to a burn mechanism and reduce the circulating supply. With only 38% of the total stake voting in favor, the measure did not meet the 60% approval needed. Critics argue that the project has not demonstrated a coherent strategy for balancing supply and demand, contributing to ongoing price instability.

Community Response Divides Between Caution and Optimism

Despite the setbacks, some long-term holders remain optimistic about THE’s long-term potential, citing the project’s foundational architecture and past performance during prior downturns. However, the majority of the community has taken a wait-and-see approach, with many calling for greater transparency from the team. On social media platforms, users have demanded updates on the revised roadmap and a detailed explanation of the steps being taken to restore trust.

Analysts Call for Clear Action Plan

Analysts project that the recovery of THE will depend heavily on the project’s ability to deliver a clear action plan and demonstrate progress in addressing current issues. A renewed focus on transparency, timely updates, and concrete results will be essential to rebuilding investor confidence. Until these measures are taken, the asset is expected to remain under pressure amid ongoing uncertainty.