Venus Protocol $THE Market Attacked, Generating Approximately $2.15 Million in Bad Debt

Gate News reports that on March 19, Venus Protocol's $THE market was attacked, resulting in approximately $2.15 million in bad debt. The attacker withdrew 7,400 ETH from TornadoCash a month earlier, then borrowed $9.9 million to purchase $THE, and directly donated 36.1 million $THE to the vTHE contract, bypassing the supply cap and causing the exchange rate to inflate by 3.81 times.

After the incident, Justin Sun, one of the top five XVS holders, deposited 621,000 XVS worth $1.95 million into a CEX. Additionally, the BNB Bridge Exploiter, the 16th largest XVS holder, currently holds 135,000 XVS worth about $421,000.