DeFi protocols face recurring oracle manipulation attacks that expose price feed vulnerabilities. bZx (2020), Cream Finance (2021), and Mango Markets (2022) suffered major exploits when attackers manipulated collateral pricing; Mango lost $110M when MNGO prices rose thirteenfold in 30 minutes. Security researchers emphasize that protocols must stress-test price feeds under adverse market conditions to prevent future incidents.
DeFi protocols have repeatedly suffered oracle manipulation attacks, including bZx (2020), Cream Finance (2021), and Mango Markets (2022), where attackers exploited vulnerabilities in price feeds to manipulate collateral valuations and extract assets. The core issue is that protocols accept prices from thin or vulnerable markets without adequately stress-testing their reliability under adverse conditions, creating systemic risks across lending mechanisms and liquidation systems.