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Ethereum Set Protocol product loses 8.11 WETH due to rounding bug in redemption process

Protocol Fundamentals
06 Oct 2026
Tokenpost
View Source
Bearish
Ethereum Set Protocol product loses 8.11 WETH due to rounding bug in redemption process

An older Set Protocol product on Ethereum called ETHMACOAPY lost about 8.11 Wrapped Ether (WETH) across two transactions because of a rounding defect in the actualizeFee() function. This bug caused the system to round redemption collateral upward even when no fee was due, allowing redemptions to draw on reserves meant for other token holders. The exploit involved transferring collateral to trigger recalculations and redeeming temporary tokens, resulting in excess collateral being withdrawn from the contract's reserves. This nearly exhausted the reserves recorded for the Set, highlighting a vulnerability in the protocol's fee calculation and redemption mechanism.

The ETHMACOAPY Set Protocol product experienced a loss of about 8.11 Wrapped Ether (WETH). For readers following major cryptocurrencies on Pluang, here is the market snapshot as of Oct 06, 2026 18:44 WIB: out of 50 priced cryptocurrencies, 14 rose and 35 fell. Notable movers include CAKE at Rp43.636 with a 1-day change of -3.90%, ALGO at Rp2.252 down 3.72%, and AVAX at Rp204.520 up 3.71%.

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