Drift Protocol Hit by $285M Exploit

AAVE V4 launch

Aave V4 uses a Hub & Spoke model for liquidity management: the Liquidity Hub consolidates protocol-wide liquidity and accounting, while Spokes implements modular borrowing with isolated risk.

What's different with v3?

In V4, liquidity is stored in a unified Liquidity Hub per network, while in V3 AAVE protocol uses independent markets across different networks. When users supply assets to Aave V3, they supply them to a specific market. Those assets can only be borrowed within that market. For example, assets supplied to Ethereum Core can only be borrowed by Ethereum Core users.

In V4, lending business is handled by Spokes. Spokes manage asset movements, user positions, track collateral, integrate with price oracles, and include safety controls that allow operations to be paused if needed. There are different types of Spoke, E-Mode for highly correlated assets, Isolation Mode for uncorrelated assets, RWA Spokes and Vault Spokes.

See doc: https://aave.com/docs/aave-v4

Polymarket taps Pyth Pro to power traditional asset markets

Polymarket, the world's largest prediction market platform, has integrated Pyth Pro as its data source for a new suite of traditional asset contracts. The integration covers gold, silver, WTI crude, natural gas, major equity indices, and over a dozen US equities including TSLA, COIN, and PLTR. Pyth Pro delivers real-time price data via WebSocket, with Polymarket sampling every second to publish live charts for traders.

The data is contributed directly by leading trading firms such as Jump Trading, Blue Ocean, LMAX, and Jane Street. This institutional-grade data quality is critical for markets involving millions of dollars in positions. Pyth has secured over $2.7 trillion in transaction volume across onchain protocols and offchain institutions.

See announcement: https://www.pyth.network/blog/polymarket-taps-pyth-pro-to-power-its-traditional-asset-markets

Drift Protocol suffers $285M exploit

Drift Protocol, a major perpetual futures exchange on Solana, experienced a significant security breach on April 1, 2026, resulting in estimated losses between $200-285 million. The exploit was first detected through on-chain monitoring systems, which flagged abnormal outflows rapidly draining the protocol's core vaults.

Approximately 980,000 SOL, alongside large quantities of USDC and other major crypto assets, were siphoned into attacker-controlled wallets within minutes. Blockchain traces show the attacker quickly converted and dispersed the stolen funds, swapping assets across decentralized aggregators and bridging them to other networks, with a significant portion converted into Ethereum.

In response, Drift Protocol suspended deposits and withdrawals and issued urgent warnings to users. The team confirmed it is working with security partners and ecosystem participants to investigate the breach. The DRIFT token fell over 20% following the incident. The precise attack vector remains unknown, with early theories including smart contract vulnerabilities, oracle price manipulation, or compromised administrative controls.

See latest update: https://x.com/DriftProtocol/status/2039417136729227425

About 1Token:

1Token is a digital asset investment management platform providing Crypto PMS, RMS, and Portfolio Accounting Software, managing over $20 billion in assets for more than 100 clients worldwide.

All-in-one support designed for allocators, portfolio managers, treasury managers and fund operations and accountants, seeking transparency and control.

• Front office (portfolio managers and traders) to view live position and exposure, calculate trading PnL and historical performance.
• Middle office (ops and risk) to maintain portfolios and API accounts, book OTC trades, monitor risk metrics and analyze VaR/STV, generate shadow NAV with investor subscription/redemption/dividend.
• Back office (admin and auditors) to collect and reconcile trades, generate valuation and PnL reporting under FIFO/WAC tax strategy.