Sui DeFi protocol Full Sail to wind down after Switchboard incident
Full Sail, a DeFi protocol on Sui, is shutting down after a security incident tied to oracle provider Switchboard caused user losses. The protocol has disabled new deposits and LP reward claims, and will soon move regular pools to withdrawal-only mode after final security checks. The incident began last week when Full Sail detected abnormal activity in its automated vaults and paused deposits and withdrawals. Switchboard later said it was investigating a possible compromise of its Move-based oracle implementations and temporarily halted its network on Aptos, Sui, IOTA, and Movement. Full Sail said an attacker drained about $91,000 from three vaults. The protocol plans to use remaining protocol-owned liquidity to compensate users, with the team covering any shortfall so community depositors are repaid first. Withdrawal and claim instructions are expected in the coming days.
