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Ionic Protocol

avoid.net/ionic-protocol→18/100·82% conf.
[AI-DRAFTED · AWAITING VERIFICATION][src:defillama]
anchored·5kB1QN…qdWf

Summary

Ionic Protocol (also known as Ionic Money) is a decentralized non-custodial lending and borrowing protocol deployed on the Mode Network (OP Superchain). It is a rebrand of Midas Capital, which suffered two separate exploits in 2023 totaling approximately $1.26 million. In February 2025, Ionic itself was exploited via a social engineering attack involving a counterfeit LBTC token, resulting in losses estimated between $8.6 million and $12.3 million; funds were partially laundered through Tornado Cash and have not been recovered.

Connected Entities

1 entities
Protocols
⌂Ionic Protocol
Relationships
    Have evidence about Ionic Protocol?

    Timeline(10 events)

    2021-11-01

    Midas Capital founded with a vision of multichain isolated-pool lending.

    2023-01-15

    Midas Capital first exploit: approximately $660,000 drained via read-only reentrancy vulnerability in Curve LP collateral on Polygon.

    2023-06-17

    Midas Capital second exploit: approximately $600,000 drained via rounding error in Compound V2-derived code on BNB Chain.

    2023-01-01

    Midas Capital sunsetted; team begins rebrand to Ionic Protocol on Mode Network.

    2024-12-12

    Alleged attacker begins interacting with Ionic Protocol, impersonating Lombard Finance team in BD discussions.

    2025-01-09

    Attacker deploys counterfeit LBTC smart contract (0x964dd444e3192f636322229080a576077b06fba3).

    2025-02-04

    Ionic Money exploit begins: attacker mints 250 fake LBTC, deposits as collateral, and borrows approximately $8.6–$12.3 million in real assets.

    2025-02-04

    Attacker bridges ~1,204 ETH ($3.2 million) from Mode Network to Ethereum and launders funds through Tornado Cash.

    2025-02-08

    Ionic team publishes official post-mortem; states the incident was not a code-based breach and pledges to work with law enforcement.

    2025-02-04

    ZachXBT publicly flags the exploit and states 'Ionic is just Midas wearing a carnival mask,' referencing two prior 2023 hacks.

    Provenance & Audit Trail
    Anchored on SolanaVerify on-chainsrc:defillama

    Decision Log

    This investigation is cryptographically anchored to the Solana blockchain and source URLs are archived via the Internet Archive.

    full audit log →version history →

    model: claude-sonnet-4-6

    generated: 5/4/2026, 2:54:25 AM

    last updated: 5/28/2026, 1:44:43 AM

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