BNB Chain’s Leading Lending Platform Faces Major Security Breach
Venus Protocol, one of the largest lending platforms on the BNB Chain, has reportedly lost $27 million in assets following a suspected smart contract compromise. The incident was flagged by on-chain analysts on September 2, 2025, sparking concerns across the DeFi community.
How the Attack Happened
Early investigations suggest that the protocol’s Core Pool Comptroller contract was updated to a malicious address, enabling the attacker to gain control over key functions. This exploit allowed the hacker to drain tokens, including vUSDC and vETH, from the platform.
“It appears the attacker replaced a critical contract with a malicious version, granting them full access to protocol funds,” said a blockchain security analyst monitoring the situation.
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The stolen funds currently remain in the attacker’s wallet and have not yet been swapped for other assets, leaving the possibility of further actions by the hacker.
Security Teams Respond
Security teams and independent auditors are actively tracking the stolen funds on-chain. However, the Venus community has not issued an official statement at the time of writing.
“This is a serious compromise of protocol governance and contract integrity,” one cybersecurity expert noted, adding that BNB Chain projects must strengthen upgrade verification mechanisms to prevent similar incidents.
Venus operates as a money market platform on the BNB Chain, allowing users to deposit assets like stablecoins and major tokens to earn interest. Borrowers can use collateral to secure loans, making Venus a critical component of the BNB Chain DeFi ecosystem.
Growing Trend of DeFi Exploits
This breach adds to the rising wave of DeFi attacks in 2025, with hackers increasingly targeting protocol governance mechanisms and upgradeable contracts. Industry experts warn that these vulnerabilities can lead to multi-million-dollar losses within minutes, emphasizing the need for rigorous security audits and multi-sig upgrade controls.
Disclaimer
This content is for informational purposes only and does not constitute financial, investment, or legal advice. Cryptocurrency trading involves risk and may result in financial loss.