Latest Venus (XVS) News Update

Deep Dive

1. @thisisksa: $27M Phishing Attack Sparks Sell-Off Bearish

"Venus Protocol is hacked for $27M ⚠️ $XVS is DUMPING 🔻"
– @thisisksa (34K followers · 37.9K likes · 2025-09-02 09:49 UTC)
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What this means: This is bearish short-term because the September 2025 incident triggered a 9% XVS price drop and raised governance security concerns. However, Venus Protocol clarified it was a user-level exploit (not protocol breach) and recovered funds within 12 hours via emergency governance.

2. @VenusProtocol: BNB Burn Proposal Ignites Bull Case Bullish

"Real yield powered by real revenue. That's $XVS. [...] 25% of BNB Chain revenue burns quarterly if VIP-515 passes."
– @VenusProtocol (225K followers · 3.4K likes · 2025-11-10 08:57 UTC)
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What this means: This is bullish long-term because burning BNB (BNB Chain’s native token) could create deflationary pressure, aligning Venus closer to BNB’s ecosystem. The June 2025 governance vote laid groundwork for this symbiotic relationship, though implementation timelines remain unclear.

3. @Toknex_xyz: Venus Port Adoption Faces Trust Test Mixed

"Defi can be risky but smart traders always find alpha [...] price will get back"
– @Toknex_xyz (239K followers · 4.4K likes · 2025-09-02 14:31 UTC)
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What this means: Neutral sentiment dominates as Venus Port’s July 2025 launch (gas-free liquidity imports) competes with post-hack skepticism. Daily active users doubled post-launch (Token Terminal), but September’s security scare may slow adoption.

Conclusion

The consensus on Venus (XVS) is mixed: Emergency governance proved effective in crisis recovery, but lingering security concerns offset optimism around BNB burns and product upgrades. Watch the Risk Fund balance (used to cover user losses) – currently at $11.4M post-recovery – for signals about protocol stability. For bulls, sustained TVL above $1.8B (DeFiLlama) remains critical.

Deep Dive

1. Deflationary Buybacks (9 November 2025)

Overview:
Venus Protocol joined a DeFi-wide shift to deflationary tokenomics, redirecting 40% of protocol revenue to $XVS holders. Half supports buybacks (reducing supply), while the other half funds $PRIME rewards in stablecoins. This aligns with similar moves by Aave and zkSync to prioritize holder value over inflationary emissions.

What this means:
This is bullish for $XVS because buybacks create upward price pressure by reducing circulating supply, while stablecoin rewards incentivize long-term staking. However, sustained impact depends on protocol revenue growth, which faces competition from newer lending platforms. (NullTX)

2. Canton Network Integration (31 October 2025)

Overview:
Venus partnered with Solv Protocol to bring its Bitcoin-backed collateral ($SolvBTC) to the Canton Network, a Goldman Sachs-backed blockchain for institutional finance. This enables cross-chain borrowing and real-world asset (RWA) strategies using $BTC as collateral.

What this means:
This is neutral-to-bullish for $XVS because institutional adoption could boost protocol usage and fees. However, competition in RWA markets (like MakerDAO’s $3.4B dominance) may limit near-term upside. (CoinMarketCap)

3. Phishing Attack Recovery (8 September 2025)

Overview:
A $13.5M phishing attack on a user’s wallet led Venus to pause operations, recover $11.4M via emergency governance, and resume services within 12 hours. The protocol itself wasn’t exploited.

What this means:
This is neutral for $XVS because swift recovery demonstrated operational resilience, but the incident highlighted persistent DeFi user risks. XVS price dropped 9% initially but recovered fully within a week. (The Block)

Conclusion

Venus balances innovation (buybacks, RWA expansion) with reactive security measures, though reliance on BNB Chain’s ecosystem and user vigilance remain critical. Can its revamped tokenomics attract sustainable capital inflows amid broader market uncertainty?

Deep Dive

1. BNB Afterburn Burns (Q4 2025)

Overview
Venus’ VIP-515 proposal, approved in June 2025, mandates quarterly burns of 25% of BNB Chain revenue in $BNB. The next burn is scheduled for Q4 2025, aiming to reduce BNB’s circulating supply and align incentives with BNB Chain’s growth.

What this means
This is bullish for XVS because it strengthens Venus’ role in BNB Chain’s deflationary mechanics, potentially increasing demand for XVS as governance token. However, success depends on sustained protocol revenue growth.

2. Venus Port Expansion (Ongoing)

Overview
Venus Port, launched in July 2025, allows users to import existing liquidity positions across chains. Recent updates added support for USDT on BNB Chain (Venus Protocol), with plans to integrate more assets.

What this means
This is neutral-to-bullish for XVS. While it boosts liquidity inflows and user convenience, adoption depends on competitive APYs and seamless cross-chain execution.

3. Prime Incentives Revamp (2026)

Overview
Venus’ “Prime” program, which rewards XVS stakers with protocol revenue shares, is set for a 2026 overhaul. The focus is on redistributing yields to long-term holders and improving risk fund allocations.

What this means
This is bullish if executed well, as it could reduce XVS sell pressure and incentivize locking. However, tokenomics adjustments risk short-term volatility if rewards are perceived as insufficient.

Conclusion

Venus is prioritizing protocol-owned liquidity (via BNB burns), cross-chain interoperability, and sustainable yield mechanisms. The BNB Afterburn initiative positions XVS as a critical player in BNB Chain’s ecosystem, while Venus Port targets DeFi’s multi-chain future. Will Prime’s revamp finally decouple XVS from broader market sentiment? Monitor governance votes and revenue trends for clues.

Deep Dive

1. Emergency Security Pause (September 2025)

Overview: Venus Protocol paused operations after a user lost $27M to a phishing attack, enabling rapid fund recovery and security audits.

The protocol’s emergency governance tools allowed forced liquidation of the attacker’s positions, recovering most stolen assets within 12 hours. Engineers conducted frontend and contract reviews, confirming no protocol-level vulnerabilities.

What this means: This is bullish for XVS because it demonstrates Venus’s ability to act decisively during crises, prioritizing user protection. However, reliance on centralized emergency pauses could raise decentralization concerns.
(Source)

2. Venus Port Launch (July 2025)

Overview: Introduced "Venus Port," enabling users to import existing lending/borrowing positions from other platforms into Venus with zero gas fees.

The feature reduces migration friction by automating approvals and collateral adjustments. It supports cross-chain positions (e.g., Ethereum → BNB Chain) and streamlines compounding strategies.

What this means: This is bullish for XVS because it attracts liquidity from competing platforms, boosting protocol usage and revenue generation.
(Source)

3. Accelerated Development (Q2 2025)

Overview: Venus recorded 777 code commits in Q2 2025, averaging one commit every 3 hours.

Activity spanned core protocol upgrades, gas optimizations, and cross-chain expansions (e.g., zkSync, Arbitrum). Developer metrics indicate sustained momentum, with no major downtime despite high iteration speed.

What this means: This is neutral for XVS – while active development signals innovation, investors may question if rapid changes introduce unforeseen risks.
(Source)

Conclusion

Venus’s codebase reflects a dual focus on security hardening and user-centric features, balancing rapid iteration with crisis responsiveness. The protocol’s ability to recover stolen funds and simplify liquidity migration could strengthen its position in DeFi lending. How will governance navigate centralization tradeoffs as security measures evolve?