$14M Gone in a Week: TrustedVolumes and Four More Hacks Bleed DeFi Dry as 1st Week of May Ends

 


A liquidity provider called TrustedVolumes lost $6.7 million on May 7, 2026, in one of the more closely watched DeFi exploits of the year. The attacker hit a custom RFQ swap proxy contract on Ethereum, draining WETH, WBTC, USDT, and USDC before the blockchain security firm Blockaid's detection system raised the alarm.

What made this one stand out is the attacker's history. Blockchain investigators confirmed this is the same operator that hit 1inch Fusion V1 back in March 2025, draining around $5 million in that incident. Most of those funds were returned under a bug bounty. This time, TrustedVolumes confirmed the loss climbed to $6.7 million and said it was open to bounty negotiations again.

1inch moved quickly to distance itself from the headlines. The protocol confirmed its own systems, infrastructure, and user funds were untouched. TrustedVolumes operates independently as a liquidity provider across multiple protocols, not just 1inch.

The breach is the fifth major DeFi hack since May started. Before TrustedVolumes, attackers hit Ekubo Protocol for $1.4 million, Wasabi Perps for $5.5 million, Bisq for $858,000, and SmartCredit for $72,000. That is over $14 million in losses across five incidents in seven days.

April was already the worst month for DeFi theft since Bybit, with DefiLlama logging $635.2 million stolen across 28 separate hacks. May is moving in the same direction.

The pattern emerging from these attacks is not random. Resolvers, proxy contracts, and custom permission systems are consistently the weak points. Blockaid's detection tools flagged several of these in real time. But real-time detection does not stop a fast-moving attacker, it only limits how long the drain runs.

For anyone using DeFi protocols regularly, the TrustedVolumes case is a reminder that third-party infrastructure connected to a trusted protocol can carry its own independent risk.

Full coverage of the TrustedVolumes exploit and all five May 2026 DeFi hacks is available at CryptoNewsLive.org, where the story continues to develop.

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