X100 DeFi Project Loses $4.85M in Flash-Loan Governance Attack

This attack is a stark reminder that governance mechanisms, not just smart contracts, are a critical attack surface for DeFi protocols. The use of a flash loan to temporarily acquire voting power shows how quickly a project's entire value can be undermined when token-based governance lacks safeguards like time locks or quorum requirements. The collapse in X's market cap underscores how fragile confidence can be in projects with concentrated governance power. What's worth watching is whether other projects with similar three-seat or low-quorum governance models face renewed scrutiny, and whether the incident prompts broader discussion about flash-loan-resistant governance design.