GeckoPulse: DeFi Protocol Balancer Exploited, $88M and Counting Drained.

Token Floor Protection

Liquid staking protocol Ether.fi have introduced a new buyback proposal, which will see up to $50M being allocated to repurchase the protocol’s native ETHFI token.

According to the governance proposal, the Ether.fi Foundation will be allowed to purchase tokens from the open market when the price of ETHFI falls below $3.

Should the proposal be approved, the buybacks will start immediately and are expected to end once the $50M cap is reached or the program is terminated through a subsequent DAO vote.

Additionally, all buyback transactions will occur on-chain and will be publicly available on the project’s official Dune Analytics dashboard.

The voting is currently live on Snapshot, with 99.3% of votes currently in favor of the proposal.

Despite the encouraging proposal, the price of ETHFI has continued to fall by 11% over the past day, and is currently trading at $0.92.

Unbalanced

The popular Balancer DEX is under attack, with over $88M worth of funds drained from its vaults.

According to blockchain security company Peckshield, the attacker has drained various assets such as WETH and wstETH from multiple chains.

The exploit is still ongoing as of the time of writing and the Balancer team has yet to issue a statement.

Since the attack was noticed, the price of BAL has plunged by 3.2% from $0.95 to $0.92.

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