Token of Power liquidity pool drained of $1.58M in Balancer exploit
Token of Power (TOP) suffered a rapid exploit on Tuesday that emptied roughly $1.58 million from its TOP/WETH Balancer V1 pool, on-chain security firms Blockaid, PeckShield and Cyvers reported on X. The attacker drained about 944.2 WETH from the 50/50 TOP–WETH pool by flooding it with TOP tokens and swapping those inflated balances for the pool’s real WETH reserves.
What happened
- The affected pool was a Balancer V1 automated liquidity vault holding TOP (an ERC-20 token tied to The Mask of Power DAO and built around collective ownership of a MetaMask NFT) and Wrapped Ether (WETH).
- According to Blockaid, PeckShield and Cyvers, the attacker deposited a large volume of TOP into the pool, massively diluting the token balance, then swapped that inventory for WETH, extracting roughly 944.2 WETH (about $1.58M at the time).
- After the drain the pool was left holding heavily diluted TOP tokens, leaving liquidity providers exposed to near-worthless assets.
On-chain follow-up and tracing
- PeckShield’s alerts indicate the attacker subsequently moved about 945 ETH into Tornado Cash, a crypto mixer that can obscure fund flows.
- Security firms have posted alerts as the exploit became visible on-chain, but a full technical post-mortem has not yet been published.
Wider context and status
- Token of Power has not released a public incident report or outlined remediation, compensation, or governance steps. Blockaid, PeckShield and Cyvers remain the primary sources of information so far.
- The exploit comes a day after a separate high-profile DeFi incident: Humanity Protocol reported a $36M loss stemming from an employee laptop breach. While unrelated, both events have drawn intensified scrutiny from blockchain security teams this week.
What to watch
- Expect more detailed forensic reports from the security firms, any response from the TOP project or its DAO, and whether affected liquidity providers will be offered compensation or governance remedies.
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