DeFi agreement Term Finance was under attack, with a loss of approximately $8.5 million

On 24 August, the DeFi fixed-interest-rate lending agreement, Term Finance, was subjected to a governance attack against the vaults under the banner of the security agencies Peck Shield and CertiK, with an estimated loss of approximately $8.5 million. The attackers allegedly transferred approximately 2,843 ETH and $1.68 million USDUSDC and converted USDC to DAI. The target of the attack was TermStrategyVaults, based on the YarnV3 structure, but Yarn stated that the loophole originated from the self-defined governance mechanisms that Term deployed on the outer floor of the vault and that the standard Yarn vault was not affected. It is worth noting that the Term Treasury governance deal, which had been locked for seven days and allowed the LP to vote no, failed to prevent the attack. Prior to the attack, Term Treasury TVL was approximately $12.45 million, a loss of approximately 68 per cent of its general treasury TVL, and TermLabs is still investigating specific attack paths。