$SUI based decentralized exchange $CETUS Protocol has been rocked by a major exploit, resulting in a $200 million liquidity drain and triggering a sharp pause in trading activity across its platform. The attack marks one of the largest DeFi breaches of 2025 so far and has sparked renewed concerns over smart contract vulnerabilities in emerging ecosystems.
The breach led to significant disruptions across the Sui DeFi ecosystem, with several pool tokens experiencing steep drops — some plunging by as much as 80%. In immediate response, the Cetus team paused the affected smart contracts to prevent further damage and launched an in-depth investigation into the anomaly.
Despite the magnitude of the attack, Cetus has since recovered $162 million of the stolen funds, helping to stabilize the situation somewhat. However, confidence in Sui-based DeFi platforms has been rattled, even as $SUI remains relatively stable on centralized exchanges (CEXs).
Cetus Protocol, known for its high-speed liquidity solutions on the Sui blockchain, has assured users that it is working around the clock to address vulnerabilities and secure the platform. The incident serves as a stark reminder of the risks associated with DeFi protocols, especially in newer Layer 1 ecosystems like Sui.
More updates are expected as the investigation continues and recovery efforts unfold.