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Term Labs recovers fixed-rate loan positions after exploit

Term Labs announced that all fixed-rate lending positions have been restored, with the final recovery operation completed on August 25 at 14:52 UTC. The impact was limited to liquid assets in Term Vaults; Term V1 and V2 contracts were not attacked, and direct lending markets remain operational. The attacker funded wallets via Tornado Cash and exploited governance delays to drain ETH and USDC from strategies.

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