Sui Tokens Plunge Post Cetus Protocol Exploit Investigation

May 22, 2025

What to Know:

Cetus Protocol exploit crashes Sui-based token prices.
Oracle bug identified as disruption source.
Liquidity significantly impacted across Sui’s DeFi ecosystem.

sui-tokens-plunge-post-cetus-protocol-exploit-investigation — Sui Tokens Plunge Post Cetus Protocol Exploit Investigation

An exploit on the Cetus Protocol has caused a collapse in Sui-based token prices today, May 22, 2025, severely affecting the Sui DeFi ecosystem.

The incident highlights vulnerabilities in newer DeFi platforms, impacting market stability and liquidity, causing major tokens to plummet by as much as 90%.

Oracle Bug Triggers Mass Sui Token Sell-Off

The Cetus Protocol exploit emerged due to an oracle bug affecting the Sui blockchain’s primary liquidity provider. Significant price drops were observed across tokens linked to this platform.

The Cetus team acknowledged the issue and is actively working to restore functionality. Oracle-related vulnerabilities are being prioritized in their ongoing investigation.

Liquidity Crisis Hits Sui Ecosystem Hard

Liquidity has been heavily drained, with SUI ecosystem tokens experiencing drastic losses. USDC witnessed severe depegging, with trading activities reduced significantly.

The financial impact is substantial, leading to questions about Sui’s DeFi future. Users and stakeholders are concerned about ongoing security and recovery measures.

DeFi Exploits: Historical Patterns and Projections

DeFi exploits, especially related to oracles, have precedent in crypto history. Vulnerabilities in new protocols often attract such attacks.

Potential outcomes may include tightened security measures and protocol upgrades. Experts suggest studying past exploit resolutions to enhance Sui’s ecosystem safety.

HodlFM, Crypto Analyst, commented – “Liquidity providers are losing everything. Hackers are draining and dumping tokens, crashing SUI ecosystem coins by 70–90%.”

Disclaimer: The information on this website 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.

John Kojo Kumi

John Kojo Kumi is a seasoned cryptocurrency and blockchain writer celebrated for his in-depth analysis of emerging startups, tokenomics, and crypto market trends. With a Bachelor of Arts in Geography and Rural Development from Kwame Nkrumah University of Science and Technology, Kumasi, John offers a unique perspective that integrates academic knowledge with industry expertise.

Throughout his career, John has made significant contributions to Crypto News Flash, ZyCrypto, and Coinstaker Media, where he sharpened his skills in crypto journalism and blockchain analysis. Now at Bitcoininfonews.com, he provides comprehensive coverage of cryptocurrencies, DeFi, NFTs, and Web3, equipping readers with the insights needed to navigate the fast-paced blockchain ecosystem. His expertise in content management, SEO, and thorough research makes his work a trusted resource for the global crypto community