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<div class="key-points-section"><strong>What to Know:</strong>
 <ul>
  <li>Balancer attributes $128M exploit to smart contract rounding error.</li>
  <li>Affected assets include ETH and Balancer Pool Tokens.</li>
  <li>Immediate action included pausing impacted pools for recovery.</li>
 </ul>
</div>
<p>Balancer's recent $128 million DeFi exploit, occurring on November 3, 2025, stemmed from a rounding error in smart contracts across its V2 Composable Stable pools on multiple blockchains.</p>
<p>This incident highlights systemic risks within DeFi's arithmetic precision, prompting immediate asset safety protocols and recalibrated security measures across decentralized financial systems.</p>
<p>Balancer's $128 million DeFi exploit on November 3, 2025, is traced to a rounding error in its V2 Composable Stable pools, impacting multiple blockchains.</p>
<p>The incident highlights vulnerabilities within smart contract arithmetic, emphasizing the importance of comprehensive testing for decentralized finance operations.</p>
<h2 id="rounding-error-triggers-128m-asset-drain">Rounding Error Triggers $128M Asset Drain</h2>
<p>Balancer's latest $128 million exploit was triggered by a <strong>rounding error</strong> in its V2 Composable Stable pools. This <strong>exposed mathematical flaw</strong> led to significant asset draining across major blockchains. "Our team is working with leading security researchers to understand the issue and will share additional findings and a full post-mortem as soon as possible," said Fernando Martinelli, CEO of Balancer. For more on this, see the <a href="https://www.infosecurity-magazine.com/news/defi-protocol-balancer-loses-120m/" rel="noopener noreferrer nofollow">DeFi Protocol Balancer Loses $120M</a>.</p>
<p>Involved parties include Balancer's core team and <strong>security researchers</strong> who quickly mobilized to address the flaw. <strong>Immediate actions</strong> comprised pausing affected pools for damage control.</p>
<blockquote class="twitter-tweet"><a href="https://twitter.com/Balancer/status/1985390307245244573" rel="noopener noreferrer nofollow"></a>
</blockquote>
<h2 id="eth-and-balancer-tokens-hit-by-exploit">ETH and Balancer Tokens Hit by Exploit</h2>
<p>The <strong>exploit caused substantial financial losses</strong>, primarily impacting ETH and Balancer Pool Tokens. Rapid <strong>market responses</strong> focused on recovery and protecting assets from further infiltration.</p>
<p>The <strong>DeFi community reacted swiftly</strong> with heightened awareness campaigns. Links to related updates and discussions can be found on <a href="https://twitter.com/GoPlusSecurity/status/1985371222230884799" rel="noopener noreferrer nofollow">GoPlus Security on Twitter</a>.</p>
<h2 id="past-incidents-cast-light-on-current-flaw">Past Incidents Cast Light on Current Flaw</h2>
<p>Similar incidents, like Curve's past <strong>arithmetic exploits</strong>, provide a backdrop to Balancer's event. Despite historical precedents, <strong>this case ranks among the largest in multi-chain composability</strong>.</p>
<p>Future risk mitigation necessitates thorough <strong>composability audits</strong>. Data and past trends suggest that overlooked <strong>mathematical vulnerabilities</strong> could lead to continued industry-wide scrutiny. The industry's focus remains on preventing such faults, as demonstrated by <a href="https://www.relx.com/" rel="noopener noreferrer nofollow">RELX</a>.</p>
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    <td><em><strong>Disclaimer</strong>: The information on this <a href="https://bitcoininfonews.com/" rel="noopener noreferrer nofollow">website</a> is for informational purposes only and does not constitute financial or investment advice. Cryptocurrency markets are volatile, and investing involves risk. Always do your own research and consult a financial advisor.</em></td>
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</figure> <a href="https://bitcoininfonews.com/balancer-defi-exploit-rounding-error/" rel="noopener noreferrer nofollow">Read original article on bitcoininfonews.com</a>

Balancer Identifies Rounding Error in $128M DeFi Exploit

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