Odaily News Spark Protocol's Strategic Lead, monetsupply.eth, posted on platform X stating that as stablecoin market liquidity begins to tighten, the current rsETH security incident may be entering a more dangerous phase. Approximately 16.5% of the ETH market is supported by rsETH. If related losses are evenly distributed across the mainnet and cross-chain environments, rsETH-collateralized loans could face a 10%-15% discount under eMode. Even after risk buffers are depleted, ETH depositors may still bear 2%-3% of residual losses. Under this expectation, ETH providers tend to exit as soon as possible, leading to market utilization being locked at 100%, while borrowing rates are insufficient to incentivize leveraged positions like wstETH and weETH to actively deleverage and release liquidity. At the same time, since ETH cannot be withdrawn, users who borrowed stablecoins like USDT using ETH as collateral also find it difficult to close their positions promptly. Even as stablecoin lending rates rise, the market's original incentive mechanisms have been broken.

monetsupply.eth further pointed out that in the "locked" state of 100% utilization, the DeFi market may face a cascading liquidation crisis and exhibit two major distorted incentives: First, ETH holders cannot adjust their health collateral ratios, and liquidators cannot withdraw and sell the collateral assets. If the ETH price falls, bad debt could accumulate rapidly. Second, stablecoin depositors, on the contrary, have an incentive to achieve a "de facto exit" by lending out other stablecoins. While positive returns are still available, they can lock in approximately 75% capital recovery space at a lower cost. For lending markets reliant on liquidity pools and re-collateralization, liquidity must be prioritized. The recent reduction of the maximum borrowing rate (slope2) cap by Aave is weakening deleveraging incentives, significantly increasing the risk of chain failures in the market.

Odaily News: Vibhu Norby, Chief Product Officer of the Solana Foundation, posted on the X platform stating that Drift Protocol has confirmed being attacked, with the specific source still under investigation. This incident was not caused by program or smart contract vulnerabilities but is more likely related to operational security or social engineering attacks. It also needs to be clarified that while this incident occurred on a project based on the Solana ecosystem, theoretically any protocol relying on multi-signature mechanisms could face similar risks across various chains. Therefore, the Drift security incident is an isolated case and does not indicate systemic issues in Solana DeFi or related products. After the full investigation concludes, the industry may draw important lessons from this, and the Solana DeFi community will also quickly recover and rebuild.

According to SolanaFloor monitoring, the Drift protocol vulnerability incident has affected 11 DeFi protocols, including Reflect Money, Ranger Finance, Neutral Trade, Elemental DeFi, Project 0, Lulo Finance, Asgard Finance, DeFi Carrot, Pyra, xPlace, and Fuse Wallet. Some protocols have suspended functions such as minting, redemption, or deposits/withdrawals.

Ranger Finance confirmed an exposure of approximately $900,000, accounting for about 6% of its total value locked (TVL) of $14.6 million. Pyra stated that user funds were affected because they were deposited in Drift to earn yields, and has suspended the Pyra Card function. Asgard Finance indicated that its exposure related to Drift is not significant, has disabled this credit source, and is contacting affected users. Fuse Wallet has paused deposits from its Earn product into Drift, while the wallet itself remains unaffected. DeFi Carrot has suspended minting and redemption functions, but its Boost and Turbo products are unaffected. xPlace has paused deposits and withdrawals for its Savings product and temporarily disabled its credit model and lending functions. Protocols such as Elemental DeFi and Project 0 stated that related fund allocations have been suspended, awaiting Drift's resumption of operations. Lulo Finance warned that Classic deposit users may be affected, while its Protected and Boosted products have no exposure.