More Markets Suffers $9.3 Million Exploit on Flow EVM, Blockaid Reports

A DeFi lending protocol known as More Markets has reported a loss of roughly $9.3 million following an exploit that targeted its lending reserve on the Flow EVM blockchain. The incident, which occurred on August 31, 2026, was identified by security firm Blockaid, which revealed that attackers drained 15.5 million Wrapped Flow (WFLOW) tokens from the mFlowWFLOW reserve.

The exploit utilized a combination of Ankr’s bonded liquid staking token, ankrFLOW, and the efficiency mode feature of Aave V3. This feature is designed to enhance capital efficiency for asset pairs that closely correlate in price. However, in this case, it became a vulnerability, allowing attackers to overborrow beyond the protocol's protective measures.

By using ankrFLOW as collateral in an E-mode configuration, the attackers unlocked borrowing capabilities that exceeded the actual collateral's support. Following the exploit, More Markets' total value locked plummeted to approximately $3.64 million, with active loans at about $3.67 million, indicating a precarious financial situation.

As of the report from Blockaid, More Markets had not issued any public statements regarding the incident, nor had it announced any operational pauses or provided guidance to users about their funds. The exploit occurred during a challenging period for the DeFi sector, which saw total exploit losses reach $139.7 million in August 2026, marking it as the third-largest month for hacking losses this year, according to DefiLlama.