Decentralized finance protocol More Markets, operating on the Flow EVM network, lost 15.5 million Wrapped Flow (WFLOW) worth $9.3 million. Web3 security platform Blockaid disclosed details of the breach on August 31, 2026, via a post on X. As evidence of their findings, Blockaid published a series of on-chain data ranging from the primary exploit transaction and the attacker’s contract deployment transaction to post-exploit transfer clusters as the funds were dispersed.
The exploit centered on a feature known as E-mode. More Markets itself is built using the Aave V3 architecture deployed on the Flow EVM network. In its original design, the E-mode mechanism was created to maximize borrowing power for users providing collateral with correlated prices - such as liquid staking tokens and their underlying assets. The attacker exploited this E-mode logic using Ankr Staked FLOW (ankrFLOW), a liquid staking token, to borrow assets beyond standard limits from the protocol’s mFlowWFLOW lending reserve.
What We Don’t Know Yet
As of publication time, the More Markets development team has not issued a public statement regarding the security incident on their platform. In the absence of internal confirmation, all details surrounding the loss of 15.5 million WFLOW rely purely on third-party on-chain reports.
For the Flow ecosystem, security vulnerabilities are not unprecedented. The network experienced a separate exploit in December 2025, where a security flaw in the Cadence execution environment enabled an attacker to duplicate tokens and extract approximately $3.9 million. The More Markets incident adds to that track record with a significantly larger loss.
August Enters the Top Three Worst Months
The More Markets breach adds further weight to this month’s crypto crime statistics. The additional $9.3 million loss immediately pushed total crypto exploits across August 2026 past $139.7 million. This figure positions August as the third-highest month for crypto losses this year, though still well below July 2026, which saw stolen funds reach $254 million.
Just one day before Blockaid reported its More Markets findings, the crypto space was shaken by a $75 million exploit on the Tectonic protocol. The scale of the Tectonic theft even forced the Cronos network to halt block production on Sunday. Consecutive incidents within days underscore that liquidity reserves across lending and borrowing protocols remain prime targets for attackers.
Reported via Cointelegraph.
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Disclaimer: This article is for informational and educational purposes only, not financial advice. Cryptocurrency assets are highly volatile and carry significant risk. Always do your own research (DYOR) and never invest more than you can afford to lose.
