Echo Protocol's eBTC Exploited on Monad, Attacker Borrows $867,700 in WBTC on Monday

According to Onchain Lens, Echo Protocol’s eBTC liquidity token was exploited on Monday on Monad, with an attacker minting 1,000 eBTC and depositing 45 eBTC to DeFi lending protocol Curvance as collateral to borrow approximately 11.29 WBTC, worth roughly $867,700 at the time. The exploiter then bridged the WBTC to Ethereum, swapped it into 385 ETH, and moved the funds to crypto mixer Tornado Cash.

Monad Co-founder Keone Hon said security researchers are investigating the incident and confirmed approximately $816,000 was stolen. The attacker still holds 955 eBTC worth about $73.2 million. Curvance noted its market architecture prevented broader impact and paused the affected Echo eBTC market. The incident marks the 14th DeFi security breach in May, according to DefiLlama.