Aevo's Ribbon Vaults Lose $2.7M in Oracle Exploit

Legacy DeFi options vaults from Ribbon Finance were drained of approximately $2.7 million on Dec. 12. The attack targeted smart contracts that remained active on Ethereum despite Ribbon's 2023 rebrand to Aevo.

The smaller haircut is possible because the DAO will forfeit its own vault positions worth roughly $400,000 to partially offset the theft. This reduces net losses to $2.3 million. Additionally, accounts with the largest deposits have gone dormant over the past two to four years and likely will not withdraw.

Aevo is prioritizing active users by granting them a smaller reduction upfront. The claim window will run six months from Dec. 12 to June 12. After that date, the DAO will liquidate remaining assets and distribute them to users who previously withdrew, compensating up to the missing 19% or as much as remains available.