Stream Finance Incident: Contagion Risk for DeFi Protocols Analyzed

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author: CryptoNews

date: November 04, 2025

1 min. read

Yields and More, a DeFi research group, has issued a warning regarding the potential for contagion following the $93 million loss on Stream Finance due to an external fund manager's actions. The incident raises concerns about systemic risk within the DeFi ecosystem. According to their analysis, roughly $284 million in funds connected to Stream Finance are potentially at risk across various platforms. Euler, Silo, Elixir, and Tribe are specifically identified as vulnerable. Elixir appears particularly exposed, with approximately 65% of the reserve assets of the deUSD stablecoin linked to Stream Finance. This incident underscores the importance of robust risk management and due diligence in DeFi. Protocols with significant exposure to Stream Finance may face challenges, highlighting the interconnectedness and potential vulnerabilities within the decentralized finance space. Further investigation and mitigation strategies are crucial to prevent wider market disruption. ```