It's quite alarming to know one can halt whole Hive 2nd layer this easy.
I think, I might have a temporary solution. You said the attacker leased RCs, so you should fund leasing RC for an account creation service. This would make RC more expensive thus making the next attacks more costly. It might be cheaper than hardware upgrade or using anti-DDoS external service.
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Increasing the cost only deters those without the means. I assume someone doing this has at least some means to be able to execute the attack. As a result I'd think it would only cause issues for onboarding new users.