Here is the breakdown and flow of funds with what I've confirmed so far:
1) Through a series of transactions, the exploiter flash loan attacked the gmCauldron lending contracts, resulting in ~6271 $ETH being stolen ($13MM at the time). @GMX_IO has stated that this is not an issue pertaining to GMX, meaning its an issue related to @MIM_Spell. Below is one of the transactions:
arbiscan.io/tx/0xd9c8f176f08…
Following $SPELL exploited funds, will share more as it progresses, currently just consolidated most
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Controversial take, but lets recap the recent "exploit":
1) @re issues a stablecoin named $reUSD
2) $reUSD gets listed on @pendle_fi to create SY-reUSD, PT-reUSD and YT-reUSD
3) These assets then gets listed on @Morpho to leveraged yield farm
4) A freshly funded wallet uses enough size to push price 3% (enough to liquidate users who maxed out LTV/loan health) while leaving no bad debt on Morpho.
5) Pendle says everything worked as intended so users shift blame @SteakhouseFi, steakhouse blames the oracle on Morpho that they configured (I believe, correct me if false) so blame shifts to Morpho, and Morpho gives no statement since theres no bad debt on their platform, just users who got liquidated.
Genuinely sounds like a highly profitable trading strategy using enough capital to stomp out the degenerate farmers. Morality aside, can someone explain what the exploit here is, seemingly everything functioned as intended.
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Aggregates all top LLMs and does it near instant too, check this one out:
council.darkgrove.io/
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council.darkgrove.io
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INTΞRN retweeted
The #1 multi-model AI tool for your most important questions.
Ask The Council combines the leading models (Opus 4.8, Grok 4.3, GPT-5.5, etc.) into one interface with no compromises.
It's like OpenRouter Fusion (but without reasoning caps or token trimming or cheap routing).
Interesting release here, Ask the Council hits Grok, Opus, Sonnet, Gemini + OpenRouter in parallel with native tools and additional perks.
Check it out below:
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Replying to @OpenAI
Interesting how they argue capability on terminal bench then switch to credit efficiency on exploitbench
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Free tool that all sleuths should use - lets you decompile unverified contracts, makes tracking / locating exploits far easier and requires no sign ups @DarkGroveio
🌲 CRYPTO PUBLIC GOOD #2 🌲
Today, we're releasing EVMD, a free EVM bytecode decompiler.
Paste any contract's bytecode and get readable Solidity (in your browser with no signup or API key needed).
Our DarkGrove AI agent also rewrites the variables/events/functions with context-aware names.
We built this for auditors, DeFi researchers, and anyone staring at an unverified contract wondering what it really does.
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So the jaredfromsubway.eth exploiter tornadoes the $ETH, then keeps ~2.5m in $DAI? I've never understood why white/black hats do this versus either washing all or complying with the bounty. Perhaps he doesn't trust his own opsec?
etherscan.io/token/0x6b17547…
Jared's exploiter is moving the funds into Tornado Cash.
Clearly not interested in a 50% white hat bounty: he is eating a footlong.
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Impressive tooling from @DarkGroveio , makes on-chain forensics and security easier 🤝
We built a free crypto hack aggregator
Find the biggest exploits (and in-depth analysis) in real time
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Seemingly the majority consensus is that the $rsETH / @LayerZero_Core exploits impact on @aave is bearish as a whole for DeFi. There is some truth to this as its horrible optics.
I can't think of a stronger bull case for isolated markets ie @Morpho which would've contained the exploited funds to only rsETH markets versus a widespread issue.
Lots of factors play into all of this of course, but if for example you deposit $WBTC / $WETH to borrow $USDT, it makes no logical sense as to why you should be taking on additional risk because other users wanted to increase their risk tolerance with derivatives.
I'm not saying this as a bear post on AAVE either, but highlighting how it differs from Morpho outside of simply picking whatever has a lower interest rate isn't spoken about enough, if it was it could've potentially saved people millions short term.
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