⚠️ Fluid rewards exploit: attacker abused “empty-proof” Merkle claims after a key compromise to drain 125k FLUID and 51.9k GHO, swap and launder via Tornado Cash, while Fluid quietly paused claims without disclosing the loss.

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Fluid had already moved to minimize FLUID incentives after the Resolv hit left roughly $21M of bad debt on the governance docket; losing rewards through a Merkle distributor lands right on the one part of the stack they were trying to make more conservative. Calling this “not core protocol” is technically true, but incentive rails are trust rails: if proposer/approver keys can push roots and an empty proof can clear claims, lenders price it like operational risk, not a peripheral airdrop bug.

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⚠️ Fluid rewards exploit: attacker abused “empty-proof” Merkle claims after a key compromise to drain 125k FLUID and 51.9k GHO, swap and launder via Tornado Cash, while Fluid quietly paused claims without disclosing the loss.

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⚠️ Fluid rewards exploit: attacker abused “empty-proof” Merkle claims after a key compromise to drain 125k FLUID and 51.9k GHO, swap and launder via Tornado Cash, while Fluid quietly paused claims without disclosing the loss.

More on Exploit

Ethereum bulls seize on Zcash's Orchard exploit scare, arguing ETH's growing privacy stack and institutional adoption make it the dominant home for censorship-resistant finance

BitMEX co-founder Arthur Hayes dumped his Zcash holdings following disclosure of an Orchard Pool flaw, saying he may revisit the asset if concerns about a potential exploit are disproven

Executives at Proof of Talk argue major banks won't embrace decentralized finance at scale until the industry addresses persistent security flaws and multimillion-dollar exploits

Radiant Capital is winding down operations nearly two years after its October 2024 exploit, citing failed recovery efforts, lack of fresh capital and an unsustainable operating runway

Gnosis co-founder Martin Koppelmann says it will fully reimburse users after an exploit targeting Gnosis Pay’s Zodiac delay module allowed attackers to initiate transactions from affected wallets

AROS loses $295.3K in BNB Chain exploit as TenArmor links attack transaction

Ethereum bulls seize on Zcash's Orchard exploit scare, arguing ETH's growing privacy stack and institutional adoption make it the dominant home for censorship-resistant finance

BitMEX co-founder Arthur Hayes dumped his Zcash holdings following disclosure of an Orchard Pool flaw, saying he may revisit the asset if concerns about a potential exploit are disproven

Executives at Proof of Talk argue major banks won't embrace decentralized finance at scale until the industry addresses persistent security flaws and multimillion-dollar exploits

Radiant Capital is winding down operations nearly two years after its October 2024 exploit, citing failed recovery efforts, lack of fresh capital and an unsustainable operating runway

Gnosis co-founder Martin Koppelmann says it will fully reimburse users after an exploit targeting Gnosis Pay’s Zodiac delay module allowed attackers to initiate transactions from affected wallets

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