Bitcoin ether and other major tokens slipped early Monday, extending a bruising November close amid fresh panic from DeFi platform Yearn Finance.
BTC, the top cryptocurrency by market value, fell more than 3% to nearly $87,000 in early Asian trading hours. Ethereum’s native token ETH fell 5%, while SOL, DOGE, and XRP fell more than 4%, according to CoinDesk data.
The sell-off accelerated hours after Yearn’s X alert reported an “incident” in the yETH liquidity pool while mentioning that its V2 and V3 vaults remained secure and unaffected.
Discussions on social media suggest that the attacker exploited a vulnerability to create large amounts of yETH in a single transaction, thereby draining the liquidity pool and making off with around 1,000 ETH ($3 million), which was routed through mixers. YETH is a user-managed liquidity pool token composed of various Ethereum Liquid Staking (LST) derivatives.
Yearn’s issue comes days after major Korean exchange Upbit suffered a multimillion-dollar hack and highlights how institutional flows have inflated crypto market valuations without strengthening security infrastructure.
