A major security breach involving the Balancer protocol resulted in a substantial loss of over $120 million across multiple blockchain networks. The exploit was triggered by a vulnerability within the Balancer V2 pool and led to the theft of crypto assets. Balancer Labs, the protocol’s developer, has initiated an investigation into the incident, while initial recovery efforts have yielded approximately $4.1 million. The attacker began liquidating stolen tokens, further impacting the DeFi market with a notable decline in Balancer’s Total Value Locked (TVL) of over 17%. The market reacted swiftly, leading to a price drop exceeding 5% for the governance token BAL.