Full Sail Shuts Down on Sui After Oracle Exploit Drains $91,000

Full Sail, a decentralized exchange running on Sui (SUI), is ceasing operations after an attacker siphoned approximately $91,000 from three of its vaults on August 29.

The shutdown makes the DeFi protocol the latest in 2026 to fall victim to a security breach rather than a lack of user demand.

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Full Sail is sunsetting on @SuiNetwork.

This was a difficult decision. Our immediate priority is returning what affected users lost and completing an orderly wind down.

— Full Sail ⛵ (@FullSailFi) September 1, 2026

Full Sail Winds Down After $91,000 Exploit

The attacker exploited production code in Switchboard that determines who can sign oracle price updates, according to Full Sail. A key controlled by the exploiter was then added to a live oracle.

Once the network accepted that key, false prices were treated as valid. The attacker pushed prices to about 100 times below market value and deposited into the affected vaults. After prices were restored, a withdrawal exceeding the deposit amount was executed.

“This was not a Full Sail admin key compromise,” the team added.

Direct liquidity pool positions were not affected by the exploit. Full Sail halted deposits and withdrawals after confirming the incident on August 29.

Virtue separately reported about $455,000 in losses connected to the same Switchboard incident. Switchboard said contributors paused its network on Aptos, Sui, Iota, and Movement.

Full Sail added that as of September 1, Switchboard had not provided the technical details it requested or committed funds toward compensation. Mysten Labs also reportedly turned down a request for financial support.

“All remaining protocol owned liquidity is going to users, and the team will absorb the shortfall so community depositors are compensated first,” Full Sail noted. “We will follow with a detailed incident report and a separate reflection on what led to the decision to wind down.”

Hacks Keep Closing Crypto Projects in 2026

Full Sail joins a growing roster of teams in 2026 that shut down after a breach rather than a funding shortfall. Decentralized Finance (DeFi) platform Summer.fi wound down after a $6 million exploit targeted its Lazy Summer Protocol.

Radiant Capital ended DAO operations in June, 18 months after losing more than $50 million. Step Finance and SolanaFloor closed in February after a treasury hack.

The trend shows in the aggregate numbers. RootData counts 204 crypto projects that shut down, went dark, or entered bankruptcy in 2026.