Bonzo Lend Oracle Manipulation — Supra BLS Signature Bypass

Timeline: ~4 days pre-attack (July 7): attacker Ethereum EOA funded 1 ETH from Tornado Cash. July 11, 2026 ~00:51:39 UTC (Hedera block): attacker deposits 250 SAUCE on Bonzo Lend, then submits a Supra oracle price update carrying a zeroed BLS signature. Both the signature point and the referenced public key resolve to zero, causing the BLS pairing check on the Hedera precompile to return true — the verifier accepts an invalid submission because a critical security check was not executed before the pairing step. SAUCE price is inflated ~12 orders of magnitude. +8 seconds: attacker borrows 6.63M USDC + 34.52M wHBAR against the artificially inflated collateral. ~01:36 UTC: legitimate SAUCE price restored to 0.1964 HBAR. ~01:41 UTC: Bonzo Lend paused. ~05:50 UTC: Bonzo Points paused. 07:33-07:40 UTC: ~20+ WBTC-to-ETH swap transactions executed on Ethereum. ~10:00 UTC: @SpecterAnalyst publicly identifies the exploit with the 2 theft addresses (over $3.7M already bridged). 11:43 UTC: Specter confirms the attack is linked to Bonzo Finance and tracks Tornado Cash deposits. Impact: Bonzo TVL -77%, Hedera network TVL -40% in 24h. Supra acknowledges the flaw and deploys a fix to the affected verifier contract. July 17, 2026: Bonzo Finance Foundation announces full user-position restoration equal to pre-exploit position value, backed by a facility committed by the Hedera Foundation. New redemption smart contracts to be audited by Halborn.