🔐 One of the biggest hacks in DeFi history
🔴$260M Hack on Cetus DEX: DeFi is still far from ideal security
On May 22, 2025, the Cetus Protocol, the main DEX on the Sui network, suffered one of the biggest attacks in DeFi history. A hacker exploited a flaw in the platform's pricing mechanism, draining approximately $260 million in digital assets. 😱
🔍 How the attack happened:
💸 Flash loan to gain immediate liquidity
💀 Injection of fake tokens (ex: BULLA) into the pools
🧮 Manipulation of the internal pricing system
🔄 Exchange of worthless tokens for SUI and USDC
🌉 Cross-chain transaction: $60M migrated to Ethereum
🧊 Drop in CETUS token: -40% and TVL plummeting $210M
⚠️ Why did the audits fail?
Despite multiple audits, a hidden flaw in a mathematical library went unnoticed. Over-reliance on "audited codes" created a false sense of security.
🔐 Audit ≠ Total Shield
🛠️ Recovery plan:
Freezing of contracts and pools
Voting by validators to recover funds
Multisig with Cetus, Sui Foundation, and OtterSec
New CLMM contract under audit
Compensation system in development
Reopening of the protocol expected in 1 week
📚 Lessons for the future of DeFi:
✅ Auditing is not enough — real-time monitoring is necessary
✅ Open-source needs continuous review
✅ Decentralization requires responsibility: security comes first
✅ Protocols need to be proactive, not just reactive
📣 Your opinion matters:
Do you think DeFi is evolving enough in security?
Should there be stricter standards for launching protocols?
#DeFiSecurity #CetusHack #SuiBlockchain #DEXExploits #Write2Earn