Key Takeaways
- The wallet initially held over $12 million across more than 260 tokens, though subsequent transactions show rapid fund dispersal.
- CETUS, the platform’s native token, fell over 40%
Ledaing decentralised exchange on Sui Blockchain, Cetus Protocol, , has been hit by a major exploit that drained roughly $11 million from its largest liquidity pool. The incident triggered widespread liquidity loss, frozen swaps, and cascading token crashes across the network.
The attack, which targeted the platform’s SUI/USDC pool, unfolded in a matter of minutes. On-chain data indicates the exploiter manipulated pricing curves using spoof tokens, added negligible liquidity, and withdrew real assets — including large sums of SUI and USDC — without depositing a matching value. The exploit was sophisticated, leveraging flaws in internal pool logic to execute repeated drain cycles.
As of Wednesday evening, the wallet linked to the attacker was still active. It initially held over $12 million across more than 260 tokens, though subsequent transactions show rapid fund dispersal. Analysts tracking the address estimate it still holds 12.9 million SUI, now worth over $54 million, though the real recoverable value remains uncertain.
Cetus has paused its smart contracts and issued a preliminary statement confirming an active investigation. The protocol is working with blockchain security firms and other Sui-based projects to trace the attacker and assess damage. A full post-mortem report is expected in the coming days.
Following the exploit, memecoins like MOJO, HIPPO, LOFI, and BULLA saw widespread price fluctuations with instant price crashes ranging from 75% to 90%. CETUS, the platform’s native token, fell over 40%. Some users reported failed trades and delayed transaction processing as liquidity vanished across multiple pools.
At the time of the attack, Cetus was handling daily volumes near $294 million and had recently reached a total value locked (TVL) of $241 million — a near-peak milestone. Sui’s overall TVL had also grown significantly, surpassing $2.2 billion earlier this month.
The timing of the exploit raises concerns over the security readiness of fast-growing DeFi platforms. The attacker’s use of bridge protocols to move USDC into Ethereum has complicated recovery efforts. Some addresses linked to the breach have been flagged by analytics firms and may hold as much as $200 million in assets — though this figure likely includes highly devalued tokens.
Binance founder Changpeng Zhao confirmed that his team has offered support to the Sui network.
