Another multi-million-dollar attack has hit the DeFi sector after liquidity 
provider and market maker TrustedVolumes fell victim to a smart contract 
exploit on Thursday night. Related Reading: Solana Eyes New Leg Up After 
Triangle Breakout – Is $96 The Next Stop? TrustedVolumes Hit By $6.7M Hack On 
Thursday, DeFi platform TrustedVolumes, one of 1inch liquidity providers and 
market makers, suffered a new exploit that drained millions of dollars in 
multiple assets from the project. According to reports from blockchain 
security firms PeckShield and Blockaid, the attacker stole approximately $6 
million in Wrapped Ethereum (WETH), Wrapped Bitcoin (WBTC), USDT, and USDT 
after exploiting a vulnerability in the protocol’s core signature validation 
logic, which allowed them to bypass authorization checks and forge trading 
orders. Notably, the hacker quickly exchanged all assets for 2.513 ETH on a 
Decentralized Exchange (DEX) and distributed them across three addresses. In 
an X post, TrustedVolumes confirmed the incident, sharing the addresses 
currently holding the stolen funds and updating the estimated loss to roughly 
$6.7 million. The vulnerability was a TrustedVolumes-controlled custom RFQ 
(request for quote) swap proxy. Crypto researcher Humphrey explained that “the 
Custom RFQ Swap Proxy contract contains a function designed to manage the 
‘authorized order signer’ whitelist. Such whitelist mechanisms are common in 
DeFi—only addresses on the whitelist can issue valid transaction instructions 
on behalf of the protocol.” However, he noted that “this registration function 
is public and lacks any permission modifiers.” As a result, the attacker 
exploited this public function within the contract, registering themselves as 
an authorized order signer. “Since any external address can call this 
function, it is equivalent to giving everyone the ability to make a copy of 
the safe’s key,” the researcher continued. Same Hacker, Different Attack The 
online reports revealed that the attacker was the same hacker responsible for 
the $5 million 1inch Fusion V1 Settlement contract exploit in March 2025, 
which TrustedVolumes was the primary victim. Humprey highlighted that while 
the same individual carried out both attacks, they were significantly 
different on a technical level. According to the post, the 2025 vulnerability 
involved low-level EVM memory manipulation in the 1inch Fusion V1 Settlement 
contract. At the time, the hacker “proactively initiated on-chain 
negotiations,” offering to return the stolen assets for a white hat bounty. 
The DeFi platform accepted the proposal, and most of the funds were safely 
returned. Now, TrustedVolumes affirmed that it is “open to constructive 
communication regarding a bug bounty and a mutually acceptable resolution.” 
Decentralized exchange aggregator 1inch clarified that there was no impact on 
its systems, infrastructure, or user funds, explaining that “TrustedVolumes 
operate independently as a liquidity provider, used by multiple protocols 
across the industry, and are not exclusive to 1inch.” DeFi Exploits See 
Historic Surge This attack follows a wave of exploits that has shaken the DeFi 
sector over the past month. Last week, PeckShield revealed that the crypto 
space saw 40 major hacks in April, which drained approximately $647 million. 
Related Reading: $150M Crypto Ponzi Crumbles: $41.5M Frozen In DSJ Exchange 
Collapse This figure represents a 1,140% Month-over-Month (MoM) increase from 
March’s $52.2 million. It also represents a 292% surge from the $165 million 
the DeFi sector lost during the first quarter of 2026. Notably, the top two 
incidents of the month, Drift Protocol’s $285 million and KelpDAO’s $290 
million exploits, accounted for 91% of the funds lost last month. In addition, 
they now rank among the Top 10 hacks since 2021. Featured Image from 
Unsplash.com, Chart from TradingView.com

DeFi Platform TrustedVolumes Hit By $6.7M Hack As 2026 Exploits Surge

Taiwanese prosecutors have indicted a television news anchor on allegations of 
receiving cryptocurrency payments from a Chinese operative to produce 
politically influenced content and obtain classified military information from 
serving and former officers. According to the Taiwan Ciaotou District 
Prosecutors&#8217;…

Taiwan indicts TV anchor over alleged USDT-funded Chinese influence scheme

On-chain analytics firm CryptoQuant has identified a significant divergence in 
the demand structures driving Bitcoin and Ethereum&#8217;s recoveries in 2026, with 
Bitcoin attracting sustained institutional spot buying while Ethereum&#8217;s price 
stability reflects reduced selling pressure rather than genuine new demand — a 
distinction that carries major implications for the broader market&#8217;s next 
move. Related Reading: Bitcoin Reclaims Short-Term Holder Cost Basis—What It 
Means According to CryptoQuant&#8217;s analysis of on-chain and exchange data 
covering April and early May 2026, Bitcoin and Ethereum are operating under 
fundamentally different demand regimes. Bitcoin&#8217;s recovery has been driven by 
real spot purchases — investors buying and withdrawing BTC from exchanges into 
long-term storage — a dynamic that removes available sell-side supply and 
creates a structural tailwind for price even during low-volume periods. 
Ethereum&#8217;s stabilization, by contrast, appears to be largely a function of 
sellers stepping back rather than buyers stepping in. Bitcoin v. Ethereum: 
Spot and Leverage Distinction The difference matters more than it may 
initially appear. When demand comes through spot ETFs or direct purchases, 
coins leave exchange inventories and are effectively taken off the market. 
When demand is primarily expressed through futures and perpetual contracts, 
coins stay on exchanges and positions can be unwound quickly — returning 
supply and amplifying volatility when sentiment shifts. CryptoQuant&#8217;s data 
makes the institutional gap between the two assets concrete. US spot Bitcoin 
ETFs recorded $532 million in net inflows on May 4 alone, per the firm&#8217;s 
analysis, and $2.44 billion across the full month of April — the largest 
monthly institutional buying figure in nearly eight months. US Ethereum spot 
ETFs logged $61.29 million in net inflows on the same day, a positive data 
point, but the scale and consistency of ETH&#8217;s institutional flows have not 
matched Bitcoin&#8217;s trajectory, per CryptoQuant&#8217;s assessment as reported by 
Bitcoin.com News. The Bitcoin price follows the spike in fund holdings, while 
the Ethereum price remains stalled due to less institutional interest. Source: 
CryptoQuant What It Takes For ETH To Catch Up CryptoQuant&#8217;s central finding 
points toward a clear threshold: Bitcoin dominance — BTC&#8217;s share of total 
crypto market capitalization, which currently sits above 60% — is likely to 
hold until Ethereum demonstrates the kind of sustained spot buying that has 
underpinned Bitcoin&#8217;s recovery. Should ETH eventually mirror BTC&#8217;s spot demand 
pattern, the firm&#8217;s analysis suggests a broader altcoin rally could follow, as 
capital rotates outward from Bitcoin into the wider market. Until that 
rotation materializes, the current environment reflects capital concentration 
rather than broad-based recovery — a distinction the nascent sector&#8217;s most 
attentive observers are tracking closely heading into the second quarter. 
Related Reading: Dogecoin (DOGE) Back Under Pressure, Rebound Chances Face Big 
Test As of this writing, Bitcoin trades at around $81,500, consolidating above 
the critical $80,000 level as institutional accumulation continues to provide 
structural support for the asset&#8217;s near-term price floor. BTC&#8217;s price trends 
to the upside on the daily chart. Source: BTCUSD on Tradingview Cover image 
from Grok, BTCUSD chart from Tradingview

This 1 Chart Explains Why Bitcoin Is Winning And Ethereum Is Losing Right Now

The conflict&#8217;s economic impact highlights the complex interplay between 
geopolitical tensions and global market stability, affecting peace prospects.
The post Iran war boosts profits for energy, banks, defense firms: BBC 
appeared first on Crypto Briefing.

Iran war boosts profits for energy, banks, defense firms: BBC

Vitalik Buterin’s $4 swap was sandwiched by JaredfromSubway, renewing debate 
over Ethereum MEV, front-running, and encrypted mempools.

Ethereum’s most notorious sandwich bot targets Vitalik Buterin’s swap

U.S. voters have increasingly tied support for crypto regulation to electoral 
choices as a new HarrisX survey showed bipartisan backing for the CLARITY Act 
ahead of a possible Senate Banking Committee markup next week. According to 
HarrisX, 52% of 2,008…

DeFi Platform TrustedVolumes Hit By $6.7M Hack As 2026 Exploits Surge

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