Pirate Chain suffered an exploit in the transparent supply-accounting layer introduced with its Ironwood upgrade. Two transaction-validation failures reportedly allowed an attacker to bypass issuance restrictions and exploit incorrect output-script interpretation, creating approximately 39.8 million unauthorized ARRR. The tokens were transferred into the Sapling shielded pool, obscuring subsequent transfers. The team initially proposed a blockchain rollback but later confirmed that it could not execute one unilaterally