$9.3M Lending Reserve Drained in Flow EVM Market Exploit

A $9.3 million lending reserve was depleted in the Flow EVM market due to an overborrowing strategy, Blockaid reported on Monday.

The attacker exploited Ankr Staked FLOW (ankrFLOW) and Aave V3's 'efficiency mode' (E-mode) to drain approximately 15.5 million Wrapped Flow (WFLOW) tokens from the mFlowWFLOW lending reserve.

This exploit demonstrates a recurring risk in DeFi: when an attacker can obtain collateral exposure through a token wrapper or staking derivative, the assumed relationship between assets may be insufficiently protective during the exploit window.