A vulnerability in Balancer V2 has resulted in a significant financial loss estimated at $120 million, according to analysis by Foresight News and SlowMist security team. This flaw impacted several projects and their forked versions across various blockchains. The root cause lies in an integer fixed-point operation issue within the composable stable pools of Balancer V2. These pools utilize Curve’s StableSwap stable mathematics for calculations. While small at first, this precision loss led to cumulative price discrepancies during token exchanges. Exploiting this vulnerability, attackers conducted a series of small exchanges under low liquidity conditions, amplifying these discrepancies into substantial profits.