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$35M DeFi Exploit Week: Governance Heist, Oracle Attack & Flash Loan
Audio is available on Spreaker — see link below.
Three DeFi protocols lost $35 million in a single week through governance capture, oracle manipulation, and a flash loan attack — no code exploits required. Plus: Circle wins its national bank charter and the DOJ quietly exits a major crypto prosecution.
Audio is available on Spreaker — see link below.
A single attacker just drained twenty million dollars from BonkDAO's treasury, and they didn't need to write a single line of exploit code. They voted for it.
The BonkDAO heist wasn't the only major loss this week. Bonzo Lend on the Hedera network lost nine point zero five million dollars through a completely different vector: oracle manipulation.
Add Summer.fi to the list. Six million dollars in DAI, taken via a sixty-five point four million dollar flash loan.
Two decisions on July tenth point in the same regulatory direction. Circle Internet Group received final OCC approval for its First National Digital Currency Bank, making it the first stablecoin issuer to hold a national trust bank charter.
One more risk worth tracking. The Ill Bloom wallet vulnerability, a seed phrase generation flaw affecting mobile and browser implementations, has confirmed losses above five million dollars.
On the network activity side, Shibarium showed a sharp reversal on July tenth. ShibaSwap volume jumped fifteen hundred and seventeen percent in twenty-four hours.
The clearest watchpoints heading into next week: whether BonkDAO token holders see any recovery plan or exchange-level asset freezes, whether the Bonzo attacker's wallet moves, and whether more Ill Bloom-linked wallets surface. On the regulatory side, Judge Claire Cecchi still needs to approve the BitClub dismissal formally.
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