The SUI ecosystem has taken a heavy blow. Cetus Protocol, its top decentralized exchange (DEX) and liquidity provider, was hacked for a staggering $260 million. The attack not only shook confidence but also caused a sharp 15% drop in the price of SUI. With funds drained, smart contracts paused, and major players stepping in, the entire community is now scrambling for answers. Here’s a breakdown of what happened, what it means, and what might come next.
SUI’s Cetus DEX Hacked: How It Happened
Cetus Protocol, the largest DEX on SUI, became the target of a major exploit. On May 22, an attacker identified by wallet address “0xe28b50” drained massive amounts of funds. Blockchain sleuths quickly discovered that the hacker used fake tokens like BULLA to trick the DEX’s pricing system. By doing this, they manipulated liquidity pools and stole real assets, including SUI and USDC. After draining the funds, the attacker moved roughly $60 million in USDC to Ethereum. They’ve already swapped much of it for ETH, making tracking and recovery harder. Hacken, a blockchain security firm, confirmed that $63 million was bridged to Ethereum in just one move. In total, the hacker’s wallet is loaded with over $100 million in multiple assets. The Cetus team acted fast. They paused all smart contracts and began investigating. Still, the damage was done, and fear spread quickly through the SUI community.
SUI Price Tanks After Cetus Protocol Hack
SUI’s price couldn’t hold up under the pressure. Just hours after the news broke, it dropped by nearly 15%, falling to around $3.65. Earlier that same day, SUI had hit a weekly high thanks to OKX’s launch of the new xBTC token. But the hack news quickly erased those gains. Market watchers noticed over $200 million in outflows in a matter of hours. That kind of movement triggered panic among traders and investors. Even though SUI showed some short-term green candles earlier in the day, the overall trend turned sharply negative. Within four hours, prices had dropped over 10%. Despite the dip, some investors remain optimistic, hoping that quick recovery actions might stabilize the ecosystem. But the road ahead looks shaky for now.
Binance Steps In to Support SUI After Cetus DEX Breach
The hack didn’t go unnoticed by the crypto world’s biggest names. Binance founder Changpeng Zhao (CZ) posted on X, offering help to the SUI team. He said, “We are doing what we can to help SUI. Not a pleasant situation. Hope everyone stays SAFU!” CZ’s message reassured some investors, but others remain concerned. So far, Binance has not shared specifics about what help they’re offering. Still, CZ’s involvement signals that the SUI ecosystem has strong allies and may recover faster than expected. Support from high-profile figures is important at times like this. It helps maintain user trust and encourages developers and liquidity providers to stick around.
SUI Ecosystem Faces Fallout Across Multiple Platforms
The attack didn’t only hurt Cetus. It sent shockwaves across other SUI-based platforms. Scallop, a SUI money market, paused all borrowing after the hack. The team promised users that funds are safe but won’t resume normal operations until a full investigation is complete. Meanwhile, many assets listed on Cetus lost over 75% of their value. Tokens like LBTC and AXOL suffered massive hits. On DEX Screener, market data showed red across the board for SUI-based assets. While LBTC slightly rebounded outside of Cetus, AXOL lost nearly 99.5%. The sheer size of the attack and the speed of the fallout point to how tightly connected the ecosystem is. When one major protocol like Cetus goes down, others feel the impact almost immediately.
What’s Next for Cetus Protocol and the SUI Community?
Right now, the Cetus team is deep into investigating the hack. They’ve paused smart contracts and are coordinating with security teams. Web3 analysts believe the exploit was highly technical, making it difficult to prevent but also hard to repeat. The community is waiting for transparency. People want answers about how the attacker got through and what measures are being taken to avoid future breaches. Whether Cetus can regain its users’ trust depends on how quickly and openly the team responds. For SUI, this event is a major test. With strong support from players like Binance and a determined development team, recovery is possible. But the next few weeks will be critical for rebuilding credibility in both Cetus Protocol and the broader SUI network.
