Ethereum-Based DeFi Protocol Faces Critical Security Challenge
The recent $116 million Balancer exploit across multiple blockchain networks, including Ethereum, highlights the ongoing security challenges facing decentralized finance protocols. This incident underscores the critical importance of robust smart contract auditing and cross-chain security measures in the rapidly evolving cryptocurrency landscape.
Balancer Exploit Drains Over $116M Across Multiple Networks
Balancer's decentralized finance protocol suffered a major security breach on November 3, 2025, with attackers exploiting a vulnerability in the v2 pool smart contracts. The exploit resulted in unauthorized withdrawals totaling more than $116 million across Ethereum, Arbitrum, Base, Sonic, Optimism, and Polygon networks.
Forked projects including Beets and Berachain were collateral damage in the cross-chain attack. Balancer Labs confirmed the incident within hours, advising users to avoid affected v2 pools while emphasizing that newer v3 pools remained secure. The native BAL token dropped 5% following the announcement as investors assessed the implications.
The breach highlights persistent security challenges in DeFi's composable ecosystem, where vulnerabilities can cascade across interconnected protocols. Market observers note this ranks among the largest DeFi exploits of 2025, potentially accelerating institutional demand for insured custodial solutions.
Ethereum Price Prediction 2025-2030: Can ETH Reach $15,575?
Ethereum's current price stands at $3,698, reflecting the broader bullish momentum in cryptocurrency markets. Analysts project a potential surge to $6,925 by 2025, with long-term targets reaching $15,575 by 2030.
Today's trading shows ETH at $3,712.65, down 4.12% intraday. Short-term forecasts suggest a range between $3,600 and $4,000 for tomorrow's trading session.
The ethereum network continues to attract significant capital inflows, mirroring the sector-wide recovery. Its position as the leading smart contract platform maintains strong fundamental support for these price projections.
Hackers Drain $120M From Ethereum DeFi Protocol Balancer
Balancer, a leading Ethereum-based decentralized finance (DeFi) protocol, has suffered a significant security breach resulting in the loss of nearly $120 million. Blockchain analytics firms Lookonchain and PeckShieldAlert confirmed the exploit, highlighting the growing vulnerabilities in DeFi ecosystems.
The attack underscores persistent risks in smart contract-based platforms, despite Ethereum's dominance in decentralized applications. Market participants are scrutinizing the aftermath, with potential implications for investor confidence in DeFi infrastructure.
Ethereum Foundation Overhauls Grant System to Targeted Funding Model
The Ethereum Foundation has discontinued its open grant application process, implementing a strategic shift toward targeted funding mechanisms. The new structure features a Wishlist and Request for Proposals system, designed to streamline resource allocation and foster high-impact development on the Ethereum blockchain.
Leadership changes in August 2025 prompted the temporary suspension of open grants, which had supported hundreds of projects but proved unsustainable with a reduced team. The foundation's blog post emphasizes this pivot as a deliberate MOVE to enhance operational efficiency while maintaining ecosystem growth.
Market observers note the restructuring reflects Ethereum's maturation, with capital deployment becoming more institutional in character. The Wishlist system explicitly signals priority development areas, while the RFP model invites tailored solutions—a marked departure from the previous scattershot funding approach.
