Nitron Demex Hack

What happened

On May 16, 2025, Demex reported a $950,559 loss from a donation-based oracle manipulation of Nitron's deprecated dGLP vault. The attacker inflated the vault's redemption rate through a donation, used the manipulated dGLP value as lending collateral and withdrew borrowed assets.

How it happened

1. The attacker donated fsGLP to the low-TVL deprecated dGLP vault, inflating its accounting-based redemption rate.
2. Nitron's oracle reflected the inflated dGLP value in its lending markets.
3. The attacker posted inflated dGLP as collateral and borrowed real lender assets.
4. It withdrew the borrowed assets; Nitron was paused while Demex pursued tracing and restitution options.

Protocol details

Classification Borrowing and Lending / Oracle Manipulation

Protocol Type Exploit/Oracle Issue

Implementation language Solidity

Protocol links Website @demexchange

Evidence

• report Nitron Exploit Post-Mortem: What Happened, What Was Lost, and What’s Next blog.dem.exchange
• report @demexchange incident report x.com
• analysis DeFiLlama defillama.com

Understand the attack patterns

Compare incidents →

Oracle Manipulation & Price Manipulation