Full Sail shuts down after $91K security incident linked to Switchboard oracle compromise

A compromised oracle just killed a DeFi protocol. Full Sail, a capital-efficient yield protocol on the Sui blockchain, is shutting down permanently after an attacker exploited faulty price feeds from oracle provider Switchboard to drain roughly $91,000 from three of its vaults. The incident, which surfaced on August 29, triggered a cascading response that saw Switchboard halt operations across four separate blockchains. Full Sail isn’t the only casualty either: the linked Virtue Money protocol reported approximately $455,000 in losses affecting 45 users from the same compromised data. What went wrong The root cause traces back to Switchboard’s Move-language oracle implementations. Move is the programming language underpinning both Sui and Aptos, and the suspected compromise in Switchboard’s Move-based code meant that price feeds flowing into protocols on those chains were potentially corrupted. Full Sail had actually implemented multi-oracle validation as a safeguard, a system designed to cross-check price data from multiple sources before acting on it. That defense wasn’t enough. The protocol paused deposits and withdrawals immediately after confirming the incident on August 29, b...