A significant security breach at Balancer, a decentralized finance (DeFi) protocol, has resulted in losses exceeding $128 million. Blockchain analytics firm Nansen reported that approximately $70.9 million in digital assets was transferred to a new wallet during the attack. The affected tokens included 6.85K OSETH, 6.59K WETH, and 4.26K wSTETH.
Impact Across Multiple Chains
According to Peckshield, a blockchain security firm, the total losses across various networks have reached about $128.64 million. The breakdown indicates that the majority of losses occurred on the Ethereum network, amounting to $99 million. Other affected networks include Berachain, with losses of $12.86 million, Arbitrum at $6.86 million, and smaller amounts on Base, Sonic, Optimism, and Polygon.
The situation escalated when Lookonchain identified that a large wallet, inactive for three years, suddenly became active following the hack. The wallet holder reportedly withdrew around $6.5 million from the platform in direct response to the breach. Lookonchain has since urged users with funds on Balancer to take immediate action to secure their assets.
Balancer’s Response and Investigation
In light of the incident, the Balancer team has confirmed that it is investigating the potential exploit impacting its v2 pools. The organization announced that its engineering and security teams are prioritizing this issue. Balancer reassured users that verified updates and guidance will be provided as more information becomes available.
The official statement read: “We’re aware of a potential exploit impacting Balancer v2 pools. Our engineering and security teams are investigating with high priority. We’ll share verified updates and next steps as soon as we have more information.”
Investor Ted Pillows has urged users to remain cautious and refrain from interacting with the compromised pools until the situation is resolved.
This is not the first security challenge Balancer has faced. In 2020, hackers exploited the platform by manipulating token balances through repeated swaps, leading to losses of around $500,000. More recently, in 2023, an exploit of Balancer’s boosted pools resulted in losses of approximately $900,000. However, the current incident marks the largest hack in Balancer’s history and one of the most substantial DeFi exploits of 2025.
The repercussions of this breach have already impacted Balancer’s governance token (BAL), which experienced a sharp decline of over 8% in the past 24 hours, falling to around $0.91. This incident underscores the ongoing vulnerabilities faced by DeFi platforms, despite advancements in security measures and increased oversight in the sector.