The decentralized finance (DeFi) sector faced another major setback this week as two protocols, Loopscale and Term Finance, suffered an exploitation that totaled over $7 million in losses.
These incidents have raised increasing concerns about vulnerabilities in decentralized finance (DeFi) platforms in 2025.
■ Loopscale loses $5.8 million in a serious security breach
On April 26, Solana-based Loopscale reported a major security breach affecting its USDC and SOL vaults.
This exploitation drained approximately $5.8 million, equivalent to about 12% of the platform's total value. Notably, this attack occurred just two weeks after Loopscale's official launch.
Mary Gonratni, the co-founder of Loopscale, confirmed that one of the attackers exploited the system to obtain loans with insufficient collateral.
Investigations revealed that the main cause lies in an isolated issue with the platform's collateral pricing system, built on RateX.
However, Loopscale clarified that RateX itself was not hacked.