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DeFi Week 40: TVL adds 1.5% as a governance attack drains Neutron
2026-09-28

DeFi Week 40: TVL adds 1.5% as a governance attack drains Neutron

DeFi TVL rose 1.5% to $95.49B, a gain ether's own price supplied, while a governance attack drained Astroport and Drop on Neutron and Bitget lost $387.5M.

DeFi TVL Ranking & Protocol Anomalies
DeFi TVL Ranking & Protocol Anomalies@NeoDrop Official
DeFi's aggregate total value locked finished the weekly window at $95.488B, the daily snapshot for 27 September, up $1.400B or 1.4881% from $94.087B on 21 September. 1 Ether rose 1.9234% over the same seven days, from $2,644.73 to $2,695.60. 2 Because TVL is valued at current prices, most of that dollar gain is the same move seen twice: the book measured in ether went from 35.575M ETH to 35.423M ETH, down 0.4272%. 1
The scheduled window runs from 21 to 28 September 2026, 10:00 GMT-5, and the TVL series uses the nearest daily historical balances rather than hour-level readings. Two risk events defined it. A malicious governance proposal on Neutron handed an attacker administrative control of eleven smart contracts, drained Astroport and Drop, and pushed Cosmos Hub validators to stop the chain for roughly 24.5 hours. Two days later, Bitget disclosed that about $387.5 million had left its hot and warm wallets in the year's largest crypto breach. 34

Quick scan

MetricVerified readingStrategic significance
Aggregate DeFi TVL$94.087B to $95.488B; +$1.400B / +1.4881% 1Ether's 1.92% weekly gain covers nearly all of it; in ether terms the book shrank 0.43%.
Largest dollar gainerLayerZero V2: +$375.4M; $7.644B to $8.020B 5Bridge escrows across 91 deployments grew while the largest lending and staking books slipped.
Largest dollar loserAave V3: -$584.6M; $18.678B to $18.093B 5On the daily series the fall is $144.3M, concentrated on Ethereum; cause unresolved.
Largest security incidentNeutron governance attack: $9.3M across Astroport and Drop 6One proposal took admin rights over eleven contracts and forced a 24.5-hour Cosmos Hub halt. 3
Largest off-protocol incidentBitget: $387.5M from hot and warm wallets on 24 September 4A centralized exchange, outside the protocol screens below, but the year's biggest loss.
Binding governance outcomeLido rejects its expense and buyback restructuring 729,354,889 voted Against versus 1,255 For; the buyback overhaul is off.
Highest displayed APYAerodrome Slipstream CTR-USDC: 61,474.32% at $558,726 TVL 8Reward emissions supply 61,471.50% of it; base swap fees supply 2.82%.

The dollar gain came from ether's price

Ether rose on 22 September and gave part of it back over the following two days, and aggregate TVL followed the same path one step behind. The book moved from $94.087B on 21 September to $96.342B on 22 September, peaked at $96.400B on 23 September, settled to $94.861B on 24 September, and then recovered to $95.488B by 27 September. 1
Loading chart…
Metric21 September27 SeptemberChange
Total DeFi TVL$94.087B$95.488B+1.49% 1
Ether price$2,644.73$2,695.60+1.92% 2
Bitcoin price$81,169$84,417+4.00% 9
DeFi TVL measured in ether35.575M ETH35.423M ETH-0.43% 1
The ether-denominated row is where the flow signal lives. A protocol that lost depositors can still report a larger dollar balance in a week when ether rises, and a protocol that added depositors can report a smaller one when ether falls. Reading the protocol and chain tables below in dollars alone conflates the two effects.

Where the book sits, and which chains moved

The chain endpoint totals $95.108B across 467 tracked networks at its latest reading, with Ethereum holding $53.429B, or 56.178% of it. 10 The endpoint returns current balances, so on its own it shows where the book sits rather than how it moved. The 7-day column below comes from each chain's own daily series between 21 and 27 September. 11
ChainCurrent TVLShare of tracked total7-day change
Ethereum$53.429B56.178% 10+0.34% 11
Solana$6.551B6.888% 10+6.75% 12
Base$6.222B6.542% 10+5.80% 13
BSC$5.789B6.087% 10+0.88% 14
Tron$5.614B5.903% 10+0.51% 15
Arbitrum$1.440B1.514% 10+0.84% 16
Hyperliquid L1$1.230B1.293% 10-6.92% 17
Monad$1.010B1.062% 10-2.18% 18
Two of those moves survive a same-currency test. The third reverses. Solana added $419M in dollars while SOL rose 9.20%, so the chain's book fell from 55.83M SOL to 54.58M SOL — a net withdrawal once the token's own move is stripped out. 19 Base added $344M against ether's 1.92% rise, which leaves the chain up 3.80% in ether terms: deposits on top of the price move. 13 Hyperliquid L1 shed 6.92% while HYPE moved only -1.18%, the widest gap between a chain's balance and its own token on the board this week. 20 No first-party explanation for the Hyperliquid outflow surfaced, and the drop-out shows up on the protocol side too, where Hyperliquid's staking derivative Kinetiq kHYPE fell 8.96%.

Protocol ranking: bridges filled while blue chips drained

The screen covers non-exchange protocols with at least $50M in current TVL. Before-balances are back-calculated as current TVL divided by (1 + change_7d / 100) and are labelled as such; dollar moves are rounded to the nearest $0.1M. 5
DeFiLlama's change_7d measures the latest snapshot against the same clock time seven days earlier, while the aggregate figures above come from daily snapshots. For protocols whose intraday value moved sharply during the window the two bases disagree, and where the disagreement changes the direction of a move both readings appear below.

Top protocol dollar gainers

ProtocolTVL beforeCurrent TVL7-day changeDollar moveWhat the feed shows
LayerZero V2$7.644B$8.020B+4.91%+$375.4MThe Ethereum lockbox rose from $7.005B to $7.348B, the Base deployment rose 35% and the Binance one more than doubled, both from small bases. 21
Circle Bitcoin$77.4M$373.0M+382.01%+$295.6MA steady five-day ramp in BTC escrowed for cirBTC, Circle's wrapped bitcoin. 22
USDT0$3.293B$3.506B+6.47%+$213.1MTether's interoperability layer rose every day of the window, from $3.268B to $3.480B, with a steady daily advance. 23
Obol$632.7M$770.2M+21.73%+$137.5MDistributed-validator staking stepped from $687M to $731M on 25 September. 24
Sky Lending$5.687B$5.787B+1.75%+$99.5MThe CDP book expanded through the window on a single chain. 5
Portal$1.776B$1.862B+4.85%+$86.1MCross-chain escrow balances widened across 24 deployments. 5
Sentora Curator$2.678B$2.764B+3.21%+$86.0MCurated vault deposits rose on four chains. 5
Uniswap V2$966.6M$1.049B+8.56%+$82.8MPool liquidity on the older AMM contract expanded. 5

Top protocol dollar losers

ProtocolTVL beforeCurrent TVL7-day changeDollar moveWhat the feed shows
Aave V3$18.678B$18.093B-3.13%-$584.6MOn the daily series the drop is $144.3M: Ethereum supply $15.442B to $15.337B, borrows $10.258B to $10.219B. Cause unresolved. 25
Steakhouse Financial$3.107B$2.596B-16.46%-$511.5MA one-day step on 25 September on two chains at once: Base $1.561B to $1.176B, Ethereum $931M to $763M. Cause unresolved. 26
Coinbase Bridge$8.601B$8.269B-3.87%-$332.9MThe Bitcoin leg peaked at $8.494B on 22 September and eased to $8.164B by 27 September; against the daily endpoints the bridge still gained $170.1M. 27
Lido$26.707B$26.382B-1.22%-$324.9MThe Ethereum book peaked at $27.122B on 22 September and closed at $26.472B on 27 September, above its 21 September level. 28
SSV Network$14.236B$14.045B-1.35%-$191.8MThe Ethereum validator book drifted down while ether rose 1.92%, a contraction in ether terms. 29
Binance staked ETH$10.181B$10.009B-1.69%-$172.2MLiquid staking balances fell in a week when ether rose. 5
WBTC$9.874B$9.717B-1.59%-$157.4MWrapped bitcoin shed balances while BTC itself gained 4.00%. 5
Liquid Collective$873.0M$733.4M-15.99%-$139.6MEthereum-only supply fell 16% in a week. Cause unresolved. 30
The pattern across both tables is a rotation out of the largest ether-denominated books and into bridges and newer venues. Lido, Aave V3, SSV Network and Binance staked ETH all fell in dollars during a week when ether rose 1.92%, which in ether terms is a contraction close to 5% for Aave V3 and just over 3% for each of the other three. LayerZero V2, USDT0, Portal and Uniswap V2 all rose by more than ether did. 5
Three losses stand out. Steakhouse Financial is the clearest case of a step rather than a drift: a curator's TVL is the sum of deposits in the vaults it manages, and Steakhouse lost $385M on Base and $168M on Ethereum on the same day, 25 September, with both chains flat either side of it. 26 Liquid Collective shed 16% from an Ethereum-only book, and USD AI, a synthetic dollar on Arbitrum, fell 31.66% from $319.8M to $218.6M. 3031 None of the three published a first-party explanation inside the window, so all three sit as observed balance changes with the cause unresolved.
On the gain side, one move has a dated cause. Circle's wrapped bitcoin, cirBTC, became usable on Circle's Arc network on 21 September and gained native CCTP connectivity between Arc and Ethereum on 23 September, the same days its DeFiLlama balance ran from $74M to $123M. 32 Circle Mint clients deposit BTC for cirBTC and pledge it in third-party lending markets to borrow USDC, so the balance reflects collateral posted by institutional borrowers rather than retail deposits. 32

Security: a governor key on Neutron, and a bridge function that paid out

The week's largest protocol loss came through governance rather than a contract bug. On 22 September an attacker accumulated enough NTRN voting power to pass an expedited proposal that reassigned administrative rights over eleven smart contracts, including infrastructure used by Astroport and Drop, and then replaced them with code that let the attacker withdraw the assets held in them. 333 Neutron validators halted their chain, but the attacker had already bridged part of the proceeds out.
DeFiLlama records the losses on two of the affected protocols, $4,900,000 against Astroport and $4,400,000 against Drop, or $9.3M for the single incident. 6
Roughly 1.73M ATOM reached Cosmos Hub, whose own funds were untouched. Hub validators stopped block production at height 33,086,740 on 22 September and restarted about 24.5 hours later on a patched binary that moved 1,227,121 ATOM out of the attacker's address into a 4-of-6 multisig held by Nansen, Keplr, Enigma, Silknodes, Kiln and Polkachu. 3 Two tranches escaped: about 500,000 ATOM swapped through THORChain before the halt, and 168,990.9 ATOM that THORChain refunded to the attacker after the restart and which was moved out before it could be secured. The multisig releases nothing until Cosmos Hub governance passes a transfer proposal, which the Neutron recovery team is expected to bring. 34
ProtocolChainLoss amountAttack vectorRemediation status
AstroportNeutron$4,900,000 6Malicious governance proposal 6Neutron relaunched with restored contract admins and a recovery multisig; user returns pending. 3
DropNeutron$4,400,000 6Malicious governance proposal, same incident as Astroport 6Recoverable ATOM held in a validator multisig pending a Hub vote. 3
Payy NetworkEthereum$1,828,589 6Bridge logic flaw in the rollup function 6Network and wallet paused; root-cause report pending external audit. 35
DoinGudPolygon$35,486 6Swap logic flaw 6Undisclosed. 6
The Internet TokenBase$16,380 6Arbitrary external call under an access-control failure 6Undisclosed. 6
MeterMeter, BSC, EthereumNot disclosed 6Undetermined protocol logic 6Undisclosed. 6
Those six incidents total $11,180,455 on the amounts the feed carries. 6
Payy is the one where the mechanism is readable from the transactions. Payy runs a rollup bridge that settles network activity on Ethereum, and on 24 September at 4:21 UTC its bridge contract was drained of its full balance. Two batches left, both through verifyRollup — the function Payy uses to post batches of network activity — and both submitted by the address Payy normally uses for those posts: 1,828,589 USDC first, leaving about $95,000 in the contract, then 90,202 USDC about five hours later, leaving about $700. 35 The first batch was swapped through UniswapX for roughly 683 ETH within about eight minutes, and by 5:39 UTC nearly all of it sat in three wallets. 35 Payy's own initial review rules out a compromised key, social engineering and an off-chain infrastructure exploit, and the company is having that finding checked by an audit firm before publishing it. Deposits, withdrawals, transfers and card payments remain paused. 36 The funds taken were users' non-custodial deposits, and Payy has yet to say whether they will be repaid. 35
Two much larger incidents sit outside the protocol-level screen and are recorded here for market context. Bitget reported on 25 September that about $387.5 million had been taken from its hot and warm wallets the previous day; the exchange says the attackers left private keys untouched and instead pushed fraudulent withdrawals through its internal approval system, that withdrawals are paused, and that its user protection fund holds more than $464 million. 4 DeFiLlama separately records $7,000,000 taken from Duelbits, a gambling platform, also on 24 September. 6

Governance: two Uniswap passes, one Lido rejection, one WLFI program

Snapshot's index lists dozens of proposals that closed inside the window. The ones below changed protocol parameters, treasury controls or program eligibility. Snapshot votes are off-chain signals, and each outcome takes effect through the relevant DAO's own execution path. 37
Protocol (space)ProposalOutcomeFor / AgainstQuorumWhat it changes
Uniswap (uniswapgovernance.eth)Protocol Fee Expansion: ArcPassed20,221,055 / 0 3810,000,000, metExtends protocol fee collection to the Arc deployment.
UniswapRotate Sentinel Addresses on the DUNI-Owned Uniswap Earn VaultsPassed18,218,613 / 0 3910,000,000, metChanges which addresses can act as sentinels on the DAO-owned Earn vaults.
Lido (lido-snapshot.eth)Comprehensive Expense Optimization and NEST/stETH Buyback Parameter RestructuringRejected1,255 / 29,354,889 7Not exposedWould have cut Lido Labs headcount by 50%, lowered the buyback trigger from $40M to $30M of annualised protocol revenue, and sent 100% of revenue above that line into LDO buybacks. 40
Reserve (reserveprotocol.eth)RSR Burn Gauge Setting — September 2026Passed, "High burn"1,001,768,022 of 1,161,203,626 across five options 411,000,000,000, metSets the burn gauge to its highest setting for the month.
World Liberty Financial (worldlibertyfinancial.com)Launch $WLFI Governance Engagement Incentive ProgramPassed1,736,203,854 / 193,873,568, with 183,822,702 abstaining 421,000,000,000, metCreates a program paying for governance participation; 2,306 addresses voted.
Aave (aavedao.eth)Three ARFCs: ETH and BTC collateral efficiency; Aave V4 on Base; isolated-flag handling in V3.7 E-ModesPassed357,216 to 357,217 / 0 each 43Not exposedTemperature checks that set parameters and the deployment path for the next Aave releases. 44
CoW DAO (cow.eth)CIP-88: Quote Competition RedesignPassed36,687,625 / 0 4535,000,000, metRedesigns how the solver competition prices quotes.
SSV Network (mainnet.ssvnetwork.eth)DIP-51: DAO Delegation Revision #1Passed497,125 / 0 46303,829.28, metIntroduces auto-delegation and related delegation changes.
Lido's rejection is the consequential one for anyone holding stETH or LDO. The proposal drew only 40 voters, and eight addresses supplied 28,505,718 of the 29,354,889 that voted Against, or 97.1%. 37 The largest single voter on the losing side of that contest cast 8,068,046.58 of the Against total. 37 Snapshot returns voter addresses without the delegate labels its interface shows, so the payload sizes the blocs without naming them. 37
Concentration shows up on the passed votes too. World Liberty Financial's incentive program drew 2,306 voters, the widest participation of the week, and its largest single voter cast 450,000,000 YES. Reserve's burn-gauge vote turned on 69 voters, with the largest casting 162,386,832. Uniswap's two votes each drew just over 380 addresses against a 10,000,000 quorum. 37
Quorum is exposed for some spaces only. Reserve, World Liberty Financial, Uniswap, CoW DAO and SSV Network all publish a threshold and all cleared it this week. Aave's aavedao.eth space and Lido's Snapshot space return 0 for the field, recorded here as an unpublished threshold rather than a cleared one. 37

Yield screen: reward tokens still carry the four-figure prints

Seventeen pools with at least $500,000 in TVL print APYs above 1,000%, and twelve of the seventeen sit on Base. 8 Splitting each rate into base swap fees and reward emissions shows where the return comes from.
PoolChainTVLTotal APYBase APYReward APY7-day base30-day meanRisk profile
Aerodrome Slipstream CTR-USDCBase$558,72661,474.32%2.82%61,471.50%5.49%59,171.45%Emissions supply 99.995% of the headline, and the 30-day mean sits just below today's print. 8
Aerodrome Slipstream USDC-PROSBase$930,82961,248.82%10.31%61,238.50%6.26%92,855.68%The 30-day mean is 1.5 times today's rate, so the print is fading. 8
Aerodrome Slipstream USDC-VELVETBase$1,027,79526,110.13%0.81%26,109.31%1.49%69,301.44%Base fees cover 0.003% of the rate and the 30-day mean is 2.7 times it. 8
Aerodrome Slipstream AVNT-USDCBase$725,53612,789.92%1.56%12,788.37%1.25%10,236.75%Swap fees are effectively absent; the rate is the reward token. 8
Aerodrome Slipstream USDC-METACBase$1,418,8346,955.65%359.94%6,595.71%271.86%570.42%$27.9M of daily volume on a $1.4M book; here the fee component is real, and the 30-day mean is a twelfth of today's total. 8
Aerodrome Slipstream USDC-TSLACBase$848,1826,540.47%154.43%6,386.04%42.45%727.38%Fee income on $7.17M of daily volume, with emissions still at 97.6% of the total. 8
Aerodrome Slipstream USDC-SPCXCBase$1,017,4485,846.59%160.23%5,686.36%42.99%881.84%The same shape as the other tokenized-equity pairs, on $8.99M of daily volume. 8
Aerodrome Slipstream USDC-SNDKCBase$1,026,5524,719.39%104.90%4,614.48%61.48%2,308.71%Base fee income is the steadiest of the tokenized-equity set. 8
Aerodrome Slipstream USDC-NVDACBase$1,970,4533,452.19%162.02%3,290.18%54.77%401.32%$17.5M of daily volume against a $2.0M book. 8
A different set of pools earns its return from trading rather than distribution, and those are the larger ones. Aerodrome's USDC-CBBTC pool holds $7.42M and prints 282.27%, of which base fees are 265.25%, on $6.6M of daily volume; the WETH-USDC pool holds $9.33M and prints 253.46% on $34.7M of daily volume. 8 Those rates move with volume, so the risk a farmer underwrites is the pair staying active.
Two Ethereum pools are new to the screen, and both pay entirely from base swap fees. Uniswap's QNT-WETH pool prints 1,862.56% and QNT-USDC prints 1,355.20%, on $12.5M and $15.0M of daily volume against books of $740,000 and $1.21M. 8 A pure-fee rate of that size usually marks a thin pool absorbing a burst of volume, and the exit cost on a book that small is the number to check before the headline.
The tokenized-equity set has reshuffled. USDC-METAC, paired against Meta shares at 6,955.65%, is new to this screen, while MSTRC, NVDAC and TSLAC were already on it. 8 Reward emissions supply between 94.8% and 99.995% of every print in the table above.

Trader and yield farmer action checklist

  • Read every protocol table in ether this week. Ether rose 1.92%, so any book that grew less than that lost ground in ether terms. Aave V3, Lido, SSV Network and Binance staked ETH all fell in dollars during a rising market, which is a withdrawal signal rather than a pricing one. 5
  • Check who controls the contracts behind any position you hold. The Neutron losses came from a passed proposal that reassigned admin rights over eleven contracts, so a protocol with clean audits was drained through a path its code reviews never covered. Audits cover code; the admin path is a separate exposure. 3
  • Re-check bridge withdrawal paths before you need them. Payy's bridge was emptied through its own batch-posting function, and deposits, withdrawals and card payments were frozen the same day. A bridge you cannot exit is a different risk from a bridge that is merely thin. 35
  • Treat stETH and LDO exposure against the rejected vote. Lido's buyback overhaul, the 50% headcount cut and the revenue-to-buyback shift all failed, so the buyback and cost policy stays as it is. 7
  • Screen the reward share of any four-figure pool before entering. On CTR-USDC, USDC-PROS, USDC-VELVET and AVNT-USDC, base swap fees supply under 11% of the headline rate; realized return depends on the reward token's liquidity when you sell. 8
  • Size positions in the tokenized-equity pools against their exit depth. The tokenized-equity pools sit on books between $848,000 and $1.97M, and their fee income depends on volume that has already been running six to twenty times the pool size each day. 8

References

  1. 1
    DeFiLlama historical chain TVL API

    api.llama.fi

  2. 2
    CoinGecko Ethereum market chart API

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  3. 3
    Cosmos Hub forum: Neutron governance attack response

    forum.cosmos.network

  4. 4
    Fortune on the Bitget breach

    fortune.com

  5. 5
    DeFiLlama protocols API

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  6. 6
    DeFiLlama hacks API

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  7. 7
    Snapshot vote: Lido expense optimization

    snapshot.box

  8. 8
    DeFiLlama yield pools API

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  9. 9
    CoinGecko Bitcoin market chart API

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    DeFiLlama chain TVL API

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    DeFiLlama Ethereum historical TVL API

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  12. 12
    DeFiLlama Solana historical TVL API

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  13. 13
    DeFiLlama Base historical TVL API

    api.llama.fi

  14. 14
    DeFiLlama BSC historical TVL API

    api.llama.fi

  15. 15
    DeFiLlama Tron historical TVL API

    api.llama.fi

  16. 16
    DeFiLlama Arbitrum historical TVL API

    api.llama.fi

  17. 17
    DeFiLlama Hyperliquid L1 historical TVL API

    api.llama.fi

  18. 18
    DeFiLlama Monad historical TVL API

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  19. 19
    CoinGecko Solana market chart API

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  20. 20
    CoinGecko Hyperliquid market chart API

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  21. 21
    DeFiLlama LayerZero V2 protocol API

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  22. 22
    DeFiLlama Circle Bitcoin protocol API

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  23. 23
    DeFiLlama USDT0 protocol API

    api.llama.fi

  24. 24
    DeFiLlama Obol protocol API

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  25. 25
    DeFiLlama Aave V3 protocol API

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  26. 26
    DeFiLlama Steakhouse Financial protocol API

    api.llama.fi

  27. 27
    DeFiLlama Coinbase Bridge protocol API

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  28. 28
    DeFiLlama Lido protocol API

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  29. 29
    DeFiLlama SSV Network protocol API

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  30. 30
    DeFiLlama Liquid Collective protocol API

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  31. 31
    DeFiLlama USD AI protocol API

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    Bitcoin Foundation on cirBTC going live on CCTP

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    Spaydh on the Neutron proposal

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    KuCoin: Cosmos restarts to recover stolen ATOM

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    Unchained on the Payy bridge drain

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    Payy on the initial root cause analysis

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  37. 37
    Snapshot GraphQL API

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    Snapshot vote: Uniswap Protocol Fee Expansion — Arc

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  39. 39
    Snapshot vote: Uniswap sentinel rotation

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  40. 40
    Lido forum: expense optimization and buyback restructuring

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  41. 41
    Snapshot vote: RSR burn gauge setting

    snapshot.box

  42. 42
    Snapshot vote: WLFI governance incentive program

    snapshot.box

  43. 43
    Snapshot vote: Aave ARFC on ETH and BTC collateral efficiency

    snapshot.box

  44. 44
    Snapshot vote: Aave ARFC on deploying V4 to Base

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  45. 45
    Snapshot vote: CoW CIP-88

    snapshot.box

  46. 46
    Snapshot vote: SSV DIP-51

    snapshot.box

DeFi TVL Ranking & Protocol Anomalies
DeFi TVL Ranking & Protocol Anomalies@NeoDrop Official

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Related content

  • Quick scan
  • The dollar gain came from ether's price
  • Where the book sits, and which chains moved
  • Protocol ranking: bridges filled while blue chips drained
  • Top protocol dollar gainers
  • Top protocol dollar losers
  • Security: a governor key on Neutron, and a bridge function that paid out
  • Governance: two Uniswap passes, one Lido rejection, one WLFI program
  • Yield screen: reward tokens still carry the four-figure prints
  • Trader and yield farmer action checklist