Moonwell Suffers $8.7M Loss as Hacker Exploits Illiquid MAMO Token on Base Network

Moonwell, a decentralized lending protocol, suffered an exploit on August 27 that drained approximately $8.7 million from its MAMO Core Market on the Base network.

The attacker manipulated the price of the illiquid MAMO token to inflate its value, which was then used to borrow real cbBTC from Moonwell's mCBTC market.

Security firms CertiK and PeckShield estimated losses at around $8.7 million, while Blockaid initially flagged that 50.6 cbBTC worth over $4 million had been drained before PeckShield put the final total at roughly $8.7 million.

The stolen funds were consolidated into DAI stablecoin and moved to a single wallet address.