DeFi Disaster! 💸 $2.4M Vanishes!

Right ho, it appears we have another spot of bother in the thoroughly modern, but alarmingly porous, world of Decentralised Finance. Nemo Protocol, a lending scheme operating on the Sui blockchain – a name that conjures images of undersea adventures, though I suspect this particular voyage has hit a rather nasty iceberg – has recently experienced a slight…misunderstanding with its funds. Specifically, around two and a quarter million dollars have taken a bit of an unscheduled holiday.

According to the chaps at CertiK, a firm dedicated to sniffing out these digital shenanigans, the whole ghastly affair stems from a price oracle manipulation. Which, as far as I can gather, means someone rather cleverly hoodwinked the system into believing things were worth a jolly sight more than they actually were. A bit like Aunt Agatha claiming her prize-winning marrow was the size of a small pony.

#CertiKInsight 🚨

We have seen suspicious withdrawals of ~$2.4M from @nemoprotocol on Sui
by that are possibly price manipulation attacks on its lending protocol.

Stay Vigilant!

– CertiK Alert (@CertiKAlert) September 8, 2025

It would appear a single wallet address – rather unimaginatively numbered 0x01…c724, I must say – was responsible for a series of suspiciously swift withdrawals. SuiScan’s activity logs confirm the story, showing funds departing Nemo Protocol with the alacrity of a gentleman escaping a particularly tedious dinner party.

A Worrying Trend, What?

This, naturally, is far from an isolated incident. Just the other day, Bunni (a name that rather begs the question of whether the founders had a fondness for rabbits) suffered a loss of 8.4 million due to a rounding error. A rounding error! Honestly, one would have thought they’d have mastered basic arithmetic before meddling with millions. 🧐 And scarcely two days prior, poor Venus Protocol was brought to a standstill by a phishing scam, leaving one unfortunate soul thirteen million dollars lighter.

The whole business rather highlights the inherent peril of these newfangled technologies. Sui, being a young blockchain, suffers from what one might term a slight security deficiency – a bit like a butler who keeps dropping the tea tray. The oracles, those all-important price-reporting mechanisms, continue to be the weak link, and the scoundrels exploiting them are, one suspects, having a ripping good time. Nemo Protocol, meanwhile, is remaining remarkably tight-lipped. One anticipates a flurry of frantic activity and possibly a good deal of head-scratching.

Note: The situation is still unfolding, rather like a particularly convoluted plot in a detective novel. Expect further developments.

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2025-09-08 11:34