Crypto Daily: Polygon Discloses Security Flaws, Stellar RWA Market Hits $4B

Polygon has disclosed several previously private security vulnerabilities affecting its proof-of-stake network, revealing that the flaws were patched through the Austin and Kyoto hard forks before public disclosure. The vulnerabilities impacted Polygon's Bor and Heimdall clients and included denial-of-service risks, validator resource exhaustion, and flaws in checkpoint and milestone processing. Polygon confirmed none of the vulnerabilities were exploited on mainnet, but nodes running older client versions past the hard fork activation heights have fallen out of consensus and must upgrade to rejoin the network.

Meanwhile, Stellar's tokenized real-world asset market has more than quadrupled in 2026, climbing roughly 360% to nearly $4 billion from $868.8 million at the end of last year. As of Aug. 29, the network's RWA market cap stood at $3.996 billion, spanning US Treasurys, private and public credit, and non-US government debt. Institutional adoption is accelerating, with DTCC planning to connect its tokenization service to Stellar and Tradable announcing plans to bring up to $1 billion in private credit assets onto the network.

Tokenized stock activity also surged over the past 30 days, with monthly transfer volume climbing more than 415% to $29.5 billion, according to RWA.xyz data. Monthly active addresses rose over 209% to approximately 1.3 million, while tokenized stock holders grew 167% to 2.36 million. The total value of tokenized stocks distributed onchain reached $2.54 billion, up roughly 637% from $344 million a year ago, driven by Coinbase's launch of tokenized US stocks on Base and Bitwise's introduction of automated portfolios built from these assets. Separately, a Trump-promoted token collapsed after briefly surging, highlighting ongoing volatility in politically affiliated digital assets.