Security Incident · ETH Ecosystem
TermFinance Vaults Governance Attack: $8.50M Reported Loss
On August 23, 2026, Term Finance’s Strategy Vaults (Ethereum-based fixed-rate lending protocol by Term Labs) suffered a governance exploit.
- Reported loss
- $ 8,500,000
- Attack category
- Governance Attack
Incident Overview
The attacker acquired majority voting power (100% on several USDC vaults, ~91% on the ETH Meta Vault), passed malicious proposals to disable the timelock and drain ~2,843 ETH and 1.68M USDC (later swapped to DAI), resulting in ~$8.5 million losses (about 68% of the vaults’ then-TVL).
Sources & References
This record presents information attributed to the linked sources. Incident dates describe the original event, not a new report. Reported loss figures reflect the source record and are not current market valuations.