Moonwell Investigates $8.7M Loss in Base MAMO Market Exploit

ChainCatcher report: The decentralized lending protocol Moonwell is investigating an issue affecting the MAMO Core Market on Base. Security firms CertiK and PeckShield have flagged a multi-million-dollar exploit, with estimated losses of approximately $8.7 million. Moonwell stated on X that, as a precautionary measure, the borrowing limit for all Core Markets on Base has been set to 1 wei, and the supply limits for both MAMO and WELL have also been set to 1 wei. PeckShield noted that the attacker aggregated stolen funds into a single DAI stablecoin address; CertiK stated that the attacker manipulated the collateral price of the low-liquidity MAMO token and then borrowed actual cbBTC from the mCBTC market to execute the attack—Blockaid also identified the same attack mechanism. As a result, the WELL token fell approximately 13% over 24 hours, while MAMO declined about 9%. This exploit is part of a surge in DeFi vulnerabilities since April, during which multiple protocols have been compromised for over $600 million, with the largest being the $292 million exploit targeting Kelp DAO.