X 100 Global suffers $4.85 million governance attack

The Ethereum-based cryptocurrency project X 100 Global suffered a major governance takeover on October 24, resulting in the loss of approximately $4.85 million in USDT and other token withdrawals.

Attackers utilized a flash-loan exploit to acquire significant voting power. By borrowing roughly 1.94 million USDT through an Aave flash loan, the actors purchased X tokens and used helper contracts to seize two of the project’s three Senate seats. Because the protocol lacked voting snapshots, minimum holding periods, and execution delays, the attackers were able to approve malicious proposals and drain the treasury almost instantly.

Following the exploit, the X token price collapsed by more than 96%, and liquidity evaporated from decentralized trading pools such as Uniswap. Analysts note that this incident represents a shift in DeFi risk from traditional smart-contract coding errors to governance attacks, which target the structural decision-making frameworks of decentralized protocols.