TempleDAO Loses $2 Million in Latest Exploit

Funds were converted to ether and moved to a new wallet

article-image

Source: DALL·E

share
  • An estimated 1.1 million TEMPLE was sold off
  • The root cause of the exploit was insufficient access control to the migrateStake function, according to BlockSec

TempleDAO, a yield-farming DeFi protocol, has been exploited for around $2.34 million.

All funds exploited were converted to ether and then moved to a new wallet, where they now sit. 

The pseudonymous Doc Peppercorn, a contributor to TempleDAO, posted on its Discord group that a series of transactions through Stax Finance, a TempleDAO-affiliated dapp, led to the sell-off of an estimated 1.1 million TEMPLE, the primary token of the Temple Protocol.

“We are investigating what happened so we can bring you the full picture of how this occurred, what we did to resolve and any further remediation steps,” he wrote.

The root cause of the exploit was insufficient access control to a specific function in the Stax smart contract, according to security firm BlockSec.

Prior to the exploit, TempleDAO’s protocol’s total value locked was about $57 million, according to DeFiLlama. The exploit amounted to roughly 4% of the protocol’s assets. 

According to a recent report published by bug bounty and security services platform, Immunefi, DeFi protocols remain a key target for exploits in comparison to centralized finance — representing a total of 98.8% of losses in Q3 of 2022 — with the Nomad Bridge hack and the Wintermute exploit making up the majority of the losses.

The two most targeted chains were Binance’s BNB Chain, which was recently drained of over 2 million BNB, and Ethereum, according to the report.

At the time when the report was published, the BNB Chain had suffered from 16 individual attacks resulting in the loss of 28.6% of all losses across targeted chains, and Ethereum reported 13 incidents which represented 23.2% of total losses.

The exploiter’s address was originally funded from an address on the Binance Exchange, so it’s possible the exchange may have know-your-customer information on the culprit.

A Binance spokesperson did not immediately respond to a request for comment.

Stax Finance is exploring its options.

Loading Tweet..

Temple DAO said that its Core Vaults do not share code with Stax and are therefore unaffected.


Get the news in your inbox. Explore Blockworks newsletters:

Tags

Decoding crypto and the markets. Daily, with Byron Gilliam.

Upcoming Events

Javits Center North | 445 11th Ave

Tues - Thurs, March 24 - 26, 2026

Blockworks’ Digital Asset Summit (DAS) will feature conversations between the builders, allocators, and legislators who will shape the trajectory of the digital asset ecosystem in the US and abroad.

Old Billingsgate

Mon - Wed, October 13 - 15, 2025

Blockworks’ Digital Asset Summit (DAS) will feature conversations between the builders, allocators, and legislators who will shape the trajectory of the digital asset ecosystem in the US and abroad.

recent research

Unlocked by Template (1).jpg

Research

As AI supercharges surveillance, privacy becomes a prerequisite and the winning stack will combine confidentiality with selective disclosure. Zcash’s Tachyon, composable standards on Ethereum/Solana, and compliance-aware pools aim to make private rails the new norm.

article-image

The derivatives giant will extend futures and options access to round-the-clock trading in early 2026

by Blockworks /
article-image

Global fiber network goes live as SEC clears 2Z token for utility use

by Blockworks /
article-image

The SPAC transaction positions Avalanche Treasury Co. as a Nasdaq-listed vehicle for institutional AVAX exposure by 2026

by Blockworks /
article-image

The collaboration brings regulated money market fund exposure to Polygon, with custody provided by Standard Chartered

by Blockworks /
article-image

FG Nexus teams with Securitize to bring its Nasdaq-listed equity onchain, offering tokenized stock trading through Ethereum

by Blockworks /
article-image

Sponsored

Taiko launches binding onchain governance and appoints three directors with expertise in global regulation, business strategy and blockchain tech

by Sponsored /