RED ALERT IN SUI
#CetusProtocol SUFFER Hack of $260 MILLION
The Largest DEX hit by a clever exploit of fake tokens
Cetus Protocol, the leading decentralized exchange (DEX) and liquidity provider on the Sui network, has fallen victim to an apparent hack that resulted in the loss of $260 million in tokens.
The wallet linked to the exploit (0xe28b50) contains over 12.9 million of #SUİ with a total net worth suggesting the movement of more than 32.9 million SUI (approximately $125 million), indicating that the funds may have been swapped or obscured through multiple routes.
Method of the Exploit: The attacker used fake tokens (like BULLA) to exploit "broken price curves" and "defective reserve calculations" in the protocol.
Liquidity Manipulation: Near-zero liquidity was added to manipulate the internal state of liquidity providers (LP) and then real assets like SUI and USDC were repeatedly withdrawn without depositing anything significant.
Impact on Sui DeFi: This incident exerts significant pressure on the DeFi infrastructure of the Sui network, as major pools and token pairs are currently exhausted.
Cetus Response
The team of #Cetus has paused the affected smart contracts and is conducting an active investigation.
The founder of Binance, @CZ said that the exchange team reached out to Sui to offer assistance.
