Solana News Today: ETF Exodus and Upbit Hack Challenge Solana's Market Resilience

Solana's ecosystem faced a dual blow in late November 2025 as spot ETFs recorded their first-ever net outflow and South Korea's leading exchange, Upbit, disclosed a $36–38 million breach of Solana-based assets. The $8.2 million exodus from Solana-linked ETFs, reported by Farside Investors and Cointelegraph, marked a reversal of months of inflows and underscored waning institutional confidence. Meanwhile, Upbit's security lapse-targeting tokens like SOL, USDC, BONK, and JUP sparked renewed skepticism about exchange infrastructure, compounding pressure on the already volatile market.

The ETF outflow coincided with deteriorating onchain metrics for Solana. Network activity, including active addresses and fees, declined by double digits in November, while total value locked (TVL) in key protocols like Jito and Raydium dropped by over 30%. Analysts noted that the breach of Upbit's hot wallet infrastructure, which handles active trading, amplified sell-offs by disrupting liquidity. Despite these headwinds, Solana's price held steady around $143, a sign that traders viewed the hack as exchange-specific rather than a systemic threat to the blockchain itself.

Upbit's response included immediate suspension of Solana deposits and withdrawals, alongside emergency audits and cold storage transfers to safeguard remaining assets according to reports. The exchange pledged to reimburse all losses using its own reserves, a move to mitigate reputational damage amid its $10.3 billion merger with Naver Financial. However, the timing-occurring just days before the merger's announcement-raised concerns about operational risks during corporate transitions. This incident echoed Upbit's 2019 hack, which saw $50 million stolen by North Korean-linked actors.

The breach's ripple effects extended beyond Solana. Experts highlighted vulnerabilities in hot wallet systems, which remain a prime target for hackers due to their online accessibility according to reports. Trezor CEO Matej Zak warned that exchanges are "massive honeypots" for cyberattacks, a sentiment reinforced by the $1.5 billion Bybit hack earlier in 2025 according to reports. For Solana, the incident tested market resilience. While the network's Proof of History consensus mechanism enables high throughput, it also introduces unique security challenges that require continuous adaptation according to experts.

Looking ahead, the confluence of ETF outflows and the Upbit hack may delay Solana's price recovery. Technical analyses suggest a bear flag pattern could push the token toward $100, though institutional inflows of $336 million in recent months provide some downside cushion. Regulators in South Korea are likely to intensify scrutiny of security protocols. For now, the market watches closely as Upbit's audit unfolds and ETF flows stabilize-a critical test for Solana's ability to maintain its position as a top-tier blockchain.