Cetus Protocol, the leading decentralized exchange on the Sui blockchain, recently experienced a significant security incident that resulted in the loss of approximately $220 million from user accounts. In response to the exploit, the protocol team promptly halted all transactions involving the affected balances.
Current data indicates that Cetus has successfully recovered $160 million, which will be returned to the platform's liquidity providers. Although the attack specifically targeted Cetus’s smart contracts, developers have confirmed that the Sui blockchain itself did not encounter any technical or security issues.
Nefarii.sui, a Sui group member and founder of SuiMoveAfrica, confirms the attack only hit the protocol’s internal systems and did not touch other Sui smart contracts or apps. In a message posted on X, he said the team acted quickly to deal with the breach. Once the announcement was made, the price of the SUI token fell by about 15%, reaching nearly $3.81 before it settled.
Cetus and Sui Network developers are still collaborating to recover the remaining $60 million. Analysts and blockchain engineers follow where missing funds go using transaction tracing tools and on-chain analytics. Currently, there is no news of more security breaches. To make the platform more secure, Cetus has already applied a fix to the contract vulnerability that was being exploited.
Trading through the Cetus Protocol can be done again with additional safety measures in place. According to the project team, new safety measures are in place to prevent these risks from occurring again. To ensure Cetus's safety, an outside team will review and ensure the strength and dependability of the code. By doing this, the companies aim to regain users’ trust and keep the platform transparent.
Those who direct the Sui group have praised the swift response to the breach and the return of most assets. With the help of Nefarii.sui and its networks in Kenya, Ghana, and Nigeria, Sui is having great success across Africa, which Nefarii.sui believes marks the industry as properly developing in the region. First, he told everyone what was happening and confirmed that he was sorting it out.
Although the exploit heavily disrupted the protocol, the Sui blockchain was unharmed. People are now discussing the value of strong testing and frequent checks on the security of smart contracts in decentralized systems. Now that trading has begun and many funds are set, the main concern becomes getting the remaining assets back and developing protocols for the future.