Moonwell Loses $8.7M as Hacker Exploits Illiquid MAMO Token on Base Network
TLDR
- An attacker manipulated the price of the illiquid MAMO token to borrow real cbBTC from Moonwell’s lending market on Base
- Security firms CertiK and PeckShield both estimated losses at around $8.7 million
- Stolen funds were consolidated into DAI stablecoin at a single address
- Moonwell set borrow caps to 1 wei across all Base Core Markets to stop further damage
- Moonwell’s WELL token dropped 13% and MAMO fell 9% following the incident
Decentralized lending protocol Moonwell suffered an exploit on August 27 that drained around $8.7 million from its MAMO Core Market on the Base network.
MOONWELL EXPLOITED FOR ~$8.7M@MoonwellDeFi was exploited on Base, with losses estimated at around $8.7M.
WHAT HAPPENED?
The attacker manipulated the price of $MAMO, an illiquid collateral asset, artificially inflating its borrowing power.
Assets reportedly drained included… pic.twitter.com/LD55KEUuL9- Crypto Patel (@CryptoPatel) August 28, 2026
Security firms CertiK, PeckShield, and Blockaid all identified the same attack method. The attacker manipulated the collateral price of MAMO, a relatively illiquid token, to inflate its value.
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