Term Labs reports Aug. 23 governance exploit after attacker took control of strategy vaults, draining $8.5M

Multiple outlets reported that Term Labs suffered a governance exploit on Aug. 23, in which an attacker gained control of the protocol’s strategy vaults ^{[1] [2]}.

Crypto.news and Crypto Briefing reported that the exploit was estimated to have drained about $8.5 million ^{[1] [2]}.

Cryptopolitan reported that vault governance rules allowed an attacker to withdraw a total of $8.5 million, including ETH and DAI ^[3].

The Coinrise article also characterized the incident as a governance exploit that gave the attacker control of vault operations and resulted in an estimated $8.5 million loss, citing other reports ^[4].