SOMEONE BORROWED $1.9M, BOUGHT A DAO'S GOVERNMENT WITH IT, VOTED TO HAND HIMSELF THE TREASURY, AND PAID THE LOAN BACK IN THE SAME TRANSACTION. $4.85M GONE. TOKEN -96%. I TRACED WHERE IT WENT IN 34 SECONDS this happened 3 days ago. the money moved again yesterday. I pasted one address into tracehound. 34 seconds later I was looking at the cleanest heist of the month. and the dumbest getaway. the "code is law" crowd will hate this. the "DAOs are decentralized" crowd will hate it more. let me show you how bad it is > THE GOVERNMENT HAD 3 SEATS X100 ran its treasury through a "Senate". three seats. majority wins. so the attacker took a flash loan of ~1.94M USDT from Aave, bought X, and spun up helper contracts. two of three seats. bought. in one transaction. democracy, speedrun edition. > THE "VOTE" with the majority, the treasury does what the Senate says. the Senate said: sell ~400,000 X into a pool the attacker built himself. an empty pool. his pool. the X token fell 96%. > HE PAID $50 FOR THE GETAWAY CAR 14:05:59 UTC: 0.021 ETH lands in the attacker wallet. about $50 of gas. from FixedFloat, an instant swap service. a $4.85M heist, started with a fifty. > 13 MINUTES 14:16:35: 4,749,726 USDT goes into a swap. it comes out as 2,022.86 ETH. 14:18:59: all of it moves to ONE new wallet, 0x8296…42e5. 13 minutes from gas to clean ETH. > THEN HE SPLIT IT LIKE A SPREADSHEET three wallets. 400.5 ETH. 400.5 ETH. 400.5 ETH. not 398. not 403. 400.5. three times. > 46 HOURS OF SILENCE then nothing. almost two days. he's waiting for the timeline to forget. > YESTERDAY: TORNADO 13:09 UTC. the main wallet starts feeding Tornado Cash. 20 deposits in 37 minutes. 420.8 ETH into the mixer. so let's recap: > borrowed the votes > voted himself the treasury > paid the loan back before the block ended > $50 of gas from an instant swap > 3 × 400.5 ETH > 46 hours of silence, then 20 Tornado deposits in 37 minutes now read this twice: A FLASH LOAN LETS YOU BORROW A MAJORITY. IT DOESN'T LET YOU BORROW A NEW TRAIL. the gas source. the split. the timing. the mixer. it's all on-chain. public. permanent. and it took 34 seconds to pull it out. 9 wallets. 8 flows. 3 findings. if your DAO votes with a token anyone can borrow for one block... who actually runs your DAO? that's tracehound. paste an address. watch them run. drop a hack from this week. I'll trace it live.