@x398765yfg

Are there recorded cases of governance-led slash cascades? While a full "governance-led slash cascade" has not yet been recorded in the AVS world, we have seen precursors in broader DeFi. The most famous example is the Beanstalk governance attack, where an attacker borrowed funds to pass a malicious proposal that drained the protocol's treasury. While this did not involve slashing, it demonstrates the mechanics of a governance-based financial attack. A direct analogue for slashing would require an attacker to gain control of an AVS's governance to change its slashing parameters and then trigger a condition that penalizes all validators, a catastrophic scenario the ecosystem is rightly designed to prevent.

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