Coinbase $300K Loss from 0x Smart Contract Exploit
Coinbase lost $300,000 after a misconfigured token approval granted the 0x swapper contract broad permissions. MEV bots exploited this smart contract exploit within seconds, draining tokens from the exchange’s DEX fee wallet.
The firm’s Chief Security Officer confirmed that the breach was limited to a corporate wallet and that customer assets remained secure. Coinbase immediately revoked the faulty approval and transferred remaining funds to a new wallet.
This 0x smart contract exploit underlines gaps in DeFi security. Traders should review token approvals, enforce strict smart contract permissions and adopt proactive vulnerability detection and blockchain monitoring.
Neutral
Given that the exploit was isolated to Coinbase’s corporate wallet and did not affect customer assets, the direct price impact on ZRX appears limited. In the short term, this 0x smart contract exploit might prompt traders to reassess risk exposure, potentially leading to slight sell pressure. However, Coinbase’s swift response and the lack of a broader network breach help restore confidence, keeping long-term sentiment relatively stable. Overall, the market impact on 0x is expected to remain neutral as the incident highlights security lessons without undermining fundamental protocol integrity.