Dominion Closes Tokenized Silver Project After Multisig Attack

Frank Joaquin

Date: October 7, 2026

Dominion is shutting down its Solana-based tokenized-silver project after concluding that rebuilding costs exceed its remaining resources.

The closure follows a 11 September compromise in which an attacker obtained three of five treasury multisignature keys and sold approximately 46,909 SILV into thin decentralized-exchange pools. The tokens had a nominal pre-attack value near $3 million, while the sale realized roughly $238,000, according to the Bitquery incident analysis.

SILV was marketed as a token representing one troy ounce of physical silver. The attack broke its market structure by combining treasury compromise with insufficient liquidity to absorb the sale. Dominion used freeze and clawback controls after the incident, but those tools did not restore a sustainable market.

The team has allocated most remaining liquidity to a refund plan. Current shutdown reporting says eligible holders who owned SILV before the attack can exit at $63 per token. The company has not published enough independently verified financial detail to establish the recovery rate across all holders.

TOKEN RECON ASSESSMENT

The failure shows that tokenized real-world assets inherit both blockchain-key risk and conventional market-liquidity risk. Physical backing did not prevent a collapse once treasury authority and trading depth failed together. Holders should verify claims only through Dominion’s established channels and should never provide seed phrases or pay an advance fee. The final proof point is execution of the refund plan, including eligible balances, payment records, treatment of frozen tokens, and custody disposition of the underlying silver.