BONK Slides Nearly 40% After $20M BonkDAO Governance Attack

BONK has fallen nearly 40% since a malicious governance proposal drained about $20 million from the BonkDAO treasury on July 6.

The Solana-based memecoin traded near $0.0000028 on Sunday after changing hands above $0.0000045 around the time of the attack. Its market capitalization has dropped by roughly $180 million during the decline, while the token has underperformed both Solana and the wider crypto market.

The selloff followed a governance attack that transferred 4.426 trillion BONK from the BonkDAO treasury. The attacker accumulated enough voting power to pass a proposal through the DAO’s low-participation governance process, allowing the treasury transfer to execute automatically.

BonkDAO said the BONK token contract and user wallets were not compromised. The attack was limited to assets controlled by the DAO treasury.

Attacker-Linked Transfers Add Selling Pressure

Wallets tied to the attack have continued moving BONK toward centralized exchanges, increasing the amount of supply traders must absorb during an already weak market.

Lookonchain tracked a recent transfer of 800 billion BONK, worth about $2.5 million at the time, after earlier deposits reached Binance, Coinbase and OKX. The wallet still controlled roughly 2.4 trillion BONK following the latest movement.

Exchange deposits do not confirm that every token was sold. They make liquidation possible, however, and have left the remaining balance hanging over the market.

The attacker previously transferred more than 1.6 trillion BONK to centralized platforms. Each movement has been followed closely by traders because even a partial sale represents meaningful supply relative to BONK’s daily spot volume.

BonkDAO has been working with exchanges, bridges, the Solana Foundation and law enforcement to trace the funds and prevent further liquidation.

Price Loses Key July Support

BONK initially held near $0.0000040 after the exploit before breaking below the level as exchange transfers continued.

The token later lost support around $0.0000034 and fell toward the $0.0000027 to $0.0000028 range. That zone now marks the nearest area where buyers have attempted to slow the decline.

A recovery would require BONK to reclaim $0.0000030 before testing the former support band between $0.0000034 and $0.0000035. Failure to hold the current range would leave the token exposed to fresh post-attack lows.