Peapods Finance aspLONGsUSDe Price Manipulation Attack

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Peapods Finance Logo/Homepage

Peapods Finance is a DeFi platform on Ethereum that enables users to earn yield through volatility farming by participating in various Pods with different strategies, including long, short, paired, and leveraged positions. The platform, still in beta, recently suffered a price manipulation attack targeting the WETH/aspLONGsUSDe oracle, resulting in an estimated $200,000 loss. The attacker’s second exploit attempt was front-run by Yoink, a known MEV actor. Stolen funds were funneled through ChangeNow and FixedFloat. Peapods has yet to issue a public statement, but reaching out to Yoink may offer a chance to recover some of the lost assets.

About Peapods Finance

Peapods Finance is a decentralized finance (DeFi) platform on the Ethereum mainnet that enables users to earn yield through volatility farming. The protocol leverages the price movements of various crypto assets, allowing users to participate in "Pods" that provide exposure to long or short positions, paired assets, or leveraged positions. It is currently in beta, and users are advised that they interact at their own risk due to ongoing development.

As of now, the platform boasts a Total Value Locked (TVL) of $34.5 million across 204 Pods. Users have earned $2 million in yield, while $3.5 million in fees have been generated. Over 549,000 PEAS tokens—the platform’s native token—have been distributed, with around 69,000 PEAS burned, indicating ongoing deflationary mechanisms.

Peapods offers a range of Pods with varying strategies and yields, such as pBOOE (v2), which offers a striking 556.2% APR with a $122.7K TVL, pALVA and pHOHMLONG also offer high APRs at 107.3% and 51.7%, respectively. More moderate returns are seen in pods like pPEASOHM (5%) and pPepecoin (8%), while others like pOHMO (-6.9%) and phOHM (-9.9%) currently reflect negative yields due to volatility.

A user interface on the Peapods Finance website allows filtering and sorting by Pod characteristics (name, ticker, contract, underlying asset, or paired asset), and there's a simplified vs. professional view to accommodate different user levels. Key sections include "Lend," "Bridge," "My Portfolio & Yields," and "Documentation," aimed at providing both accessibility and transparency.

The Reality

This sections is included if a case involved deception or information that was unknown at the time. Examples include:

• When the service was actually started (if different than the "official story").
• Who actually ran a service and their own personal history.
• How the service was structured behind the scenes. (For example, there was no "trading bot".)
• Details of what audits reported and how vulnerabilities were missed during auditing.

What Happened

Peapods Finance was exploited through a price manipulation attack on the WETH/aspLONGsUSDe oracle, resulting in a $200,000 loss.

Key Event Timeline - Peapods Finance aspLONGsUSDe Price Manipulation Attack

Date	Event	Description
July 7th, 2025 2:09:00 PM MDT	Last Post Of Peapods Finance	The last Twitter/X Post of Peapods Finance prior to the exploit predicts that "[s]omething big is coming this week for Peapods Finance".
July 8th, 2025 4:51:35 AM MDT	Exploit Blockchain Transaction	The blockchain transaction is processed to complete the attack.
July 8th, 2025 4:56:23 AM MDT	Second Exploit Is Frontrun	A second blockchain transaction is front-run by a MEV named Yoink.
July 8th, 2025 5:01:00 AM MDT	TenArmor Alert Tweet Posted	TenArmor posts an alert tweet about the attack transaction. High level details would follow an hour later.
July 8th, 2025 5:11:00 AM MDT	PeckShield Tweet Posted	PeckShield also posts an alert tweet, recommending the Peapods Finance take a look at the attack transaction.
July 8th, 2025 5:18:00 AM MDT	Web3 Watchdog Tweet Posted	Web3 Watchdog posts a tweet which recommends that Peapod Finance inspect the attack transaction on the blockchain.
July 8th, 2025 5:41:00 AM MDT	CertiK Alert Tweet Posted	CertiK posts a tweet with the details on the amount lost and that proceeds have been sent to ChangeNow and FixedFloat.
July 8th, 2025 7:17:00 AM MDT	Officer CIA Tweet Posted	Officer CIA posts a tweet/update on Twitter with some details of the exploit which is underway. More details will be posted as the case progresses.
July 8th, 2025 8:38:00 AM MDT	BlockSec Phalcon Tweet Posted	BlockSec Phalcon posts a tweet update. They include a second transaction, which appears to be front-run by a MEV named Yoink.
July 8th, 2025 9:56:00 AM MDT	SlowMist TI Alert Tweet	SlowMist posts a TI tweet alert, reporting that they have "detected potential suspicious activities related to @PeapodsFinance".

Technical Details

Peapods Finance's Ethereum contracts were reportedly exploited through a price manipulation attack targeting the WETH/aspLONGsUSDe oracle, which was manipulated to reflect an artificially high price.

Victim: 0xd1538a9d69801e57c937f3c64d8c4f57d2967257

Attacker: 0x277da2d1ce5601c0f0133515c19da314fc52a846

Exploit: 0x7212de58f97ad6c28623752479acaeb6b15ad006

Total Amount Lost

Most sources consistently report $200k as the loss figure. CertiK reports ~78 ETH.

The total amount lost has been estimated at $200,000 USD.

Immediate Reactions

The initial attacker successfully executed the first exploit, but their second attempt was front-run by Yoink, a known MEV frontrunner.

Ultimate Outcome

Funds gained by the attacker were sent to ChangeNow and FixedFloat.

Total Amount Recovered

Funds gained by the attacker were sent to ChangeNow and FixedFloat. Peapods Finance has yet to post any public announcement regarding the exploit.

There do not appear to have been any funds recovered in this case.

Ongoing Developments

Peapods Finance has yet to post any public announcement regarding the exploit.

There may be an opportunity to contact Yoink to potentially recover some of the funds or mitigate losses.

Individual Prevention Policies

No specific policies for individual prevention have yet been identified in this case.

For the full list of how to protect your funds as an individual, check our Prevention Policies for Individuals guide.

Platform Prevention Policies

Policies for platforms to take to prevent this situation have not yet been selected in this case.

For the full list of how to protect your funds as a financial service, check our Prevention Policies for Platforms guide.

Regulatory Prevention Policies

No specific regulatory policies have yet been identified in this case.

For the full list of regulatory policies that can prevent loss, check our Prevention Policies for Regulators guide.