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BetterBank

avoid.net/betterbank→28/100·82% conf.
[AI-DRAFTED · AWAITING VERIFICATION][src:defillama]

Auto-generated score, not yet verified against the scoring model. Under review — treat as indicative, not a verdict.

anchored·5pyTx7…azAR

Summary

BetterBank is a DeFi lending and borrowing protocol built on PulseChain, launched in August 2025, offering a dual-token system (ESTEEM and FAVOR) with high-yield savings and LP-backed credit. Approximately three weeks after launch, the protocol suffered a $5 million exploit on August 26-27, 2025, caused by an unvalidated bonus reward minting function that had been flagged as a critical vulnerability by auditor Zokyo one month prior but was downgraded to 'Informational' severity and left unpatched by the team. The attacker returned approximately $2.7 million following on-chain negotiations, leaving a net loss of roughly $1.4 million; the protocol subsequently froze trading and announced relaunch plans.

Connected Entities

3 entities · 60 linked investigations
Organizations
□BetterBank□HEX / Richard Heart14□ZachXBT82
Relationships
  • BetterBank→mentioned with→ZachXBT(70%)
  • BetterBank→mentioned with→HEX / Richard Heart(80%)
Also appears in
HEX / Richard Heart·14StableMagnet·2Dean Daghita / CMDSS (Command Services and Support)·0Nexera·32SafePal·42BearnFi·12Gurhan Kiziloz·0PAAL AI·28JUDAO·18Ansem / $ANSEM ("Black Bull") creator-coin controversy·38+ 50 more

Connected Through

2 shared actors · 448 investigations

Distinct actors this investigation shares with others — holders, traders, and named parties. Shared infrastructure (exchanges, pools) is excluded.

Have evidence about BetterBank?

Timeline(7 events)

July 2025

BetterBank launches on PulseChain offering high-yield savings and LP-backed credit via the ESTEEM and FAVOR dual-token system.

July 2025

Zokyo security audit conducted approximately one month before the exploit. Audit identifies critical vulnerability: 'A Malicious User Can Trade Bogus Tokens To Qualify For Bonus Favor Through The UniswapWrapper.' BetterBank team downgrades severity to Informational and does not implement the provided patch.

26 August 2025

Exploit begins. Attacker (primary address 0x48c9f537f3f1a2c95c46891332E05dA0D268869B, funded via Tornado Cash) deploys three custom contracts, creates fraudulent liquidity pools, and begins draining BetterBank's FAVOR and ESTEEM reward system via unauthorized bonus minting.

27 August 2025

Exploit concludes. Approximately $5 million in user funds drained: 891 million DAI, 9.05 billion PLSX, 7.40 billion WPLS. BetterBank freezes all FAVOR pools. On-chain negotiations with the attacker begin.

27 August 2025

Attacker returns 550 million pDAI (approximately $2.7 million) to the protocol. Net loss confirmed at approximately $1.4 million. Approximately 309 ETH moved toward Tornado Cash by attacker.

27 August 2025

BetterBank announces post-exploit recovery plan: contract patches, relaunch of ESTEEM and FAVOR with airdrops to legitimate holders, debt forgiveness using treasury reserves. 20% bounty announced for attacker identification.

28 August 2025

Multiple security firms (Halborn, QuillAudits, Olympix, Securelist, Rekt News) publish post-mortem analyses concluding that Zokyo had flagged the exploited vulnerability pre-launch and that BetterBank's decision not to patch it was the proximate cause of the loss.

Provenance & Audit Trail
Anchored on SolanaVerify on-chain9 Wayback Archivessrc:defillama

Decision Log

This investigation is cryptographically anchored to the Solana blockchain (1 event). 9 of 9 cited source URLs have an Internet Archive snapshot.

full audit log →version history →

model: claude-sonnet-4-6

generated: 5/4/2026, 2:54:16 AM

last updated: 8/29/2026, 9:21:01 AM

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