Yearn yETH Exploit: $3M ETH Sent to Tornado Cash

What if a hacker could print infinite money? A sophisticated attack on Yearn Finance's yETH token did just that, exposing a critical DeFi vulnerability. An attacker exploited a flaw to mint a limitless supply of yETH, draining $9 million from its pools in a single, devastating transaction. The hacker immediately laundered $3 million (1,000 ETH) through the privacy mixer Tornado Cash, using self-destructing smart contracts to cover their tracks. The attack's complexity was so high that Yearn compared it to the recent high-profile Balancer hack. This incident is a stark reminder that even established DeFi protocols can harbor catastrophic, high-complexity exploits. For investors, this underscores the inherent smart contract risks in yield products, while for developers, it serves as a crucial case study on securing aggregated token pools.