Full Sail and Virtue protocols on Sui suffered a combined ~$546k exploit via a compromised Switchboard oracle; Switchboard suspended oracles across integrations.
Security & Exploits ·
Full Sail, a DeFi protocol on Sui, announced it is winding down operations following a roughly $91,000 exploit connected to a compromised Switchboard oracle. The same incident affected Virtue, another protocol on the network, which incurred approximately $455,000 in losses. In response to the compromise, Switchboard suspended oracles across its integrated applications.
The incident highlights a structural risk in DeFi infrastructure: when a single oracle provider serves multiple protocols, a security failure at that layer can damage all dependent applications simultaneously. Switchboard's position as a shared infrastructure component meant that the vulnerability created exposure across its entire ecosystem rather than remaining isolated to one project.
What remains unclear is the full scope of protocols affected by the suspended oracles, the timeline for Switchboard to restore service, and whether other Switchboard-integrated applications have identified additional losses or vulnerabilities tied to the same compromise.