Bunni DEX Ceases Operations After $8.4 Million Hack
Bunni, a decentralized exchange, has shut down following a significant hack that resulted in a loss of $8.4 million. The team cited a lack of funds for necessary audits as a reason for the closure.
Bunni DEX Ceases Operations After $8.4 Million Hack
Bunni, a decentralized exchange (DEX) built on Uniswap v4, has stopped operations after losing $8.4 million in a recent exploit. The team behind Bunni stated that they do not possess enough funds to safely restart the project.
Bunni Closes Over Lack of Funds
Bunni announced on September 2, 2025, that it had fallen victim to a hack that led to the loss of around $8.4 million. A vulnerability in the DEX’s smart contracts concerning its Liquidity Distribution Function was exploited by the attackers. This exploitation allowed them to manipulate internal calculations and siphon funds from liquidity pools on Ethereum.
While initial estimates indicated that between $2.3 million and $2.4 million had been stolen on Ethereum, analysis from QuillAudits and Halborn revealed an additional $5.9 million loss on Unichain. The stolen assets comprised USDC and USDT, which were funneled into a single wallet.
Following the incident, Bunni halted all smart contract activities and urged users to withdraw their funds. Subsequently, the project disclosed via X that reviving the platform would necessitate an audit and monitoring costs ranging from six to seven figures. Unfortunately, they cannot manage these expenses, prompting their decision to cease operations. ‘It is with saddened hearts that we announce the shutdown of Bunni,’ expressed the team.
Users will still have the ability to withdraw their assets through the official website until further notice. The project also plans to distribute the remaining treasury funds to holders of BUNNI, LIT, and veBUNNI tokens, based on a snapshot excluding team members. Furthermore, the Bunni v2 smart contracts have been relicensed from BUSL to MIT, allowing features such as surge fees and autonomous rebalancing to be freely accessible within its ecosystem.
Efforts to reclaim the stolen assets are currently underway in partnership with law enforcement. They concluded their statement by expressing gratitude to the community for its ongoing support throughout their journey.
Back-to-Back DeFi Shutdowns
Bunni marks the second DeFi initiative to shut down within a span of less than 48 hours. The Kadena organization recently announced the termination of all its business and development activities due to unfavorable market conditions. According to an official statement, the Kadena blockchain will continue to operate independently, supported by decentralized miners and developers. Its native token, KDA, and protocol infrastructure will stay active without disruption.
Members of the X crypto community swiftly reacted to these recent developments. One user questioned the current state of the industry, pointing out the trend of projects withdrawing one after another. Following the announcement, KDA’s price plummeted over 99% from its peak of $27.64 in 2021, as analysts suggested that its chart had been indicating signs of a sell-off prior to the team’s public disclosure of the closure.
