Sonne Finance Suffers $20 Million Exploit

Sonne Finance, a DeFi money market based on Optimism, the second-largest Ethereum Layer 2 (L2) network, has been exploited to the tune of $20 million.

A fork of Compound V2, Sonne held just over $60 million in total value locked (TVL) prior to the exploit, according to DeFiLlama.

The Sonne team has paused the protocol pending an investigation, asserting that lending markets on Base, the L2 developed by Coinbase.

While the cause of the exploit is yet to be officially determined, some are speculating that it could be related to a recently added lending market.

The protocol’s SONNE token plummeted 15% in the wake of the exploit. It has a market capitalization of $5.5 million.