Moonwell investigates lending market issue on Base as security firms flag multimillion-dollar exploit

Decentralized lending protocol Moonwell is investigating an issue affecting the MAMO Core Market on Base after security firms CertiK and PeckShield flagged a multimillion-dollar exploit.

"As a precaution, borrow caps for all Core Markets on Base have been set to 1 wei, preventing new borrowing and limiting the potential for further impact," Moonwell posted on X.

"The supply caps for MAMO and WELL have also been set to 1 wei.

All other supply caps remain unchanged." Blockchain security firm PeckShield estimated the exploit drained approximately $8.7 million, with the attacker aggregating the stolen funds in the DAI stablecoin at a single address.

Fellow security firm CertiK also put the losses at $8.7 million, saying that the attacker manipulated the relatively illiquid MAMO token's collateral price, then borrowed real cbBTC from the mCBTC market to carry out the exploit.