Venus Protocol hit by THE token price exploit, leaving about $2.15 million in bad debt

On Sunday, lending platform Venus Protocol on BNB Chain suffered a price manipulation exploit involving Thena's low-liquidity THE token, leaving an estimated $2.15 million in bad debt. The attacker allegedly used a donation-based workaround to bypass the protocol's supply cap and repeatedly inflated THE's oracle price before liquidation. On-chain analysts reported that the operation was funded via Tornado Cash and may have generated little or no direct on-chain profit for the attacker.