X 100 Global, an Ethereum-based project, suffered a governance takeover on October 24 after attackers reportedly captured two of the project's three Senate seats and used their majority to raid the treasury. Security firm Blockaid traced approximately $4.85 million in USDT proceeds and additional token withdrawals from the incident.
The X token plunged more than 96%, falling from the $50-60 range to approximately $1.75. Liquidity across decentralized trading pools evaporated, with some measurements falling to just a few dollars.
How the Attack Unfolded
Rather than exploiting a smart-contract coding error, attackers targeted the project's governance architecture directly. According to security firm Exvul, attackers borrowed approximately 1.94 million USDT through an Aave flash loan, purchased X tokens, and registered helper contracts to occupy two of the three Senate seats.
The exploit succeeded because X 100 Global's governance lacked voting snapshots, minimum holding periods, and execution delays. This allowed attackers to acquire voting power, approve malicious proposals, and execute transactions almost immediately.
Treasury Drained Through Multiple Transactions
One transaction transferred 400,000 X tokens from the project's Freezer treasury into an attacker-controlled liquidity pool, returning approximately 36 USDT to the treasury. The attackers then extracted those tokens and sold them through a legitimate Uniswap V3 pool.
Security teams traced approximately $4.85 million in USDT proceeds alongside roughly 550,000 X tokens extracted across three transactions. Subsequent operations targeted additional Uniswap V3 liquidity positions.
Approximately 12.2 million X tokens reportedly remained in the Freezer when the incident was still described as ongoing. At the time of reporting, X 100 Global had not released an official statement acknowledging the breach.
