finance
BONK DAO Treasury Sends $20 Million to Attacker After Governance Proposal Passes
An attacker spent roughly $4.4 million to buy just over 1% of BONK supply and passed a proposal that transferred about $20 million from the treasury on July 6. BONK DAO confirmed the drain and is working with exchanges and the Solana Foundation.
Jul 7, 1:40 AM·1m read1 source
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An attacker drained approximately $20 million in BONK tokens from BONK DAO’s treasury on July 6 by passing a governance proposal that automatically transferred the funds. CoinDesk reported that the attacker spent about $4.4 million to acquire just over 1% of BONK’s total supply on July 4 and 5 through purchases on Bybit and Binance and borrowing on DeFi platforms.
The acquired tokens met the 1% quorum needed for proposals to pass.
The proposal, labeled BIP #76 - Sowellian BonkDAO, was submitted on June 30 by an anonymous wallet. It passed with 99.9% yes votes from seven wallets after the attacker cast its entire stake in favor. Shortly afterward, the $20 million in BONK moved to the attacker’s wallet.
Nine hours later, roughly $188,000 was sent to an exchange, while the remaining $19 million went to a multisig wallet, according to Chainalysis. Just over an hour after the transfer, the attacker began selling the BONK purchased for the attack, offloading about $5.3 million worth. BONK prices fell 7% in the 24 hours after the incident.
BONK DAO confirmed the attack and stated it had identified the exchange wallets used to buy the tokens. The group said it was working with exchanges, bridges, and the Solana Foundation. BONK is a Solana-based memecoin governed by BONK DAO, where token holders vote on proposals.
