Term Finance closes Meta Vaults after estimated $8.5M attack

Term Finance has permanently closed its Meta Vaults and removed their DAO governance powers after an attacker drained an estimated $8.5 million in ETH and stablecoins. Summary Term Finance has permanently blocked new deposits while keeping withdrawals available. PeckShield estimated that the attacker removed 2,843 ETH and 1.68 million USDC. Yearn said the exploit targeted Term’s custom governance wrapper, not standard Yearn V3 vaults. Term Labs has not confirmed depositor repayments, recovery amounts, or a compensation timeline. Term Finance permanently blocks Meta Vault deposits Term Labs said in an Aug. 23 update that it had shut down every Term Meta Vault and revoked the DAO governance roles connected to the products. The action cannot be reversed and prevents users from making new deposits, although existing depositors can continue submitting withdrawals. “All Term Meta Vaults were shut down and DAO governance roles have been revoked,” the development team said. Update: All Term Meta Vaults were shut down and dao governance roles have been revoked. This shutdown is irreversible and permanently prevents further deposits. Withdrawals remain open.Today's incident involved Term Vau...