Volo Protocol suffers attack with a loss of $3.5 million, claims it will bear the users' losses itself

Odaily Planet Daily reports that Volo Protocol announced a security incident update on the X platform, stating that its Vaults were attacked, and approximately $3.5 million worth of assets (including WBTC, XAUm, and USDC) were transferred out. The team detected the anomaly immediately and notified the Sui Foundation and ecosystem partners, while also freezing the relevant vaults to prevent further losses.

Currently, all Vaults have been suspended and are awaiting a comprehensive post-incident analysis and repair. The project team stated that the vulnerability only affected three specific Vaults, and the remaining vaults with a total value locked (TVL) of about $28 million were not impacted, with no shared attack vectors, ensuring the safety of funds.

Additionally, Volo emphasized that they will bear the losses this time and try not to transfer the risk to users. They are working with on-chain security agencies to recover funds and investigate, and will publish a full review and remedial plan later.