Term Finance loses $8.5M to attacker who bought voting power

Term Finance, an Ethereum-based lending protocol, lost $8.5 million after an attacker quietly bought up voting power and used it to govern the protocol's funds, according to CoinDesk. The exploit illustrates how lightly held governance tokens can become an attack vector when seizing control of a protocol is cheaper than the assets it governs.

The attack comes amid repeated warnings that governance-vote concentration is a growing threat to DeFi lending platforms.