DeFi Protocols Targeted in Sophisticated Attacks
BlockSec has reported that Balancer and its forked protocols across six different blockchain networks have been subjected to sophisticated attacks. These attacks have resulted in significant financial losses, with Ethereum alone experiencing a loss of $70 million.
These incidents highlight existing vulnerabilities within DeFi protocols. In response, urgent security measures have been implemented, and liquidity providers have begun withdrawing funds to help stabilize the affected chains.
BlockSec's Crucial Role in Defense
The blockchain security firm BlockSec has been instrumental in identifying and mitigating these attacks on Balancer and other similar DeFi protocols. The total losses across Ethereum, Base, Polygon, Sonic, Arbitrum, and Optimism chains amounted to $83.7 million.
The attacks triggered immediate security responses, including the pausing of protocols and the issuance of notifications to users advising them to withdraw their funds. Such measures are designed to prevent further financial damage and to reinforce security protocols across all impacted platforms.
“With the help of BlockSec, about $246K attacked by the 4th attacker has been fully refunded. The attack has been mitigated and all affected metapools have been paused. User funds are safe. Special thx to the BlockSec team for securing the 3.8m in vulnerable funds.” — Dr. Yajin Zhou, Co-founder, BlockSec
Impact on Balancer's Market Performance
Previous exploits on platforms such as PolyNetwork have also resulted in liquidity freezes, indicating a recurring pattern of vulnerabilities in smart contract upgrades across the DeFi ecosystem.
As of November 3, 2025, Balancer (BAL) is trading at $0.95. Its market capitalization is approximately $64,489,536, with a 24-hour trading volume of $3,384,632.53. Recent data indicates a 3.80% decrease in its price over the past 24 hours, with further declines observed over a 90-day period.
Research suggests that the recent multi-chain attacks could lead to increased regulatory scrutiny within the DeFi space. This underscores the critical need for continuous technological advancements and collaborative efforts across the industry to bolster DeFi security and cultivate user trust.