DeFi Protocols Face Critical Challenges as Discord Scams Increase

Decentralized finance (DeFi) protocols are currently grappling with significant security concerns, leading many to reconsider their presence on Discord amid a surge in scams, direct message phishing, and a data breach linked to Zendesk.

Key Takeaways

A number of DeFi protocols are reducing or pulling back their support on Discord due to rising security threats.
Morpho, a prominent DeFi lending platform, will switch its Discord server to read-only mode starting February 1, 2026, redirecting users to safer support options.
Industry leaders highlight challenges with moderating Discord, as it has become a hotspot for scammers targeting users.
Alternatives like Intercom are being explored to offer a more secure user experience, while platforms like DefiLlama are transitioning to email support.
Security incidents, including a significant Zendesk data breach, have amplified the urgency for these changes in the DeFi sector.

DeFi protocols quit Discord after scams and Zendesk ID breach

Growing Concerns in the DeFi Space

Many decentralized finance (DeFi) protocols are taking steps to either secure their Discord servers or discontinue support on the platform altogether. This change comes as the number of scams and security threats have escalated, leading industry executives to voice their concerns.

Morpho, a notable DeFi lending protocol, announced that it will convert its public Discord server to read-only mode starting on February 1, 2026. Instead of the open chat format, users will be directed to a specific help page and a chat-based support system.

The Shift Away from Discord

The decision to move away from Discord is rooted in the belief that the platform has turned into a haven for scammers and malicious actors who exploit users looking for assistance. Paul Frambot, Morpho’s co-founder and CEO, noted that the platform had become “more negative than positive” for user support, with ongoing complaints about scams overshadowing the value of assistance.

Morpho co-founder Merlin Egalite pointed out that Discord's structure hinders effective protection from direct-message scams, even with existing safety measures. The team is actively testing alternative solutions like Intercom, which provides user-friendly features such as ticketing, real-time translation, and automated help, all while minimizing the risk of impersonation.

Additionally, DefiLlama, a key player in the DeFi landscape, has also opted to move away from Discord. Its founder, known as 0xngmi, criticized Discord for making it “impossible to protect users from getting scammed.” They’ve adopted a hybrid model, keeping Discord available but only after implementing extra verification steps, while primarily guiding users toward other support channels.

Community Reactions and Implications

The shift away from Discord has sparked discussions within the DeFi community about the implications of stepping back from open communication platforms. Some users argue that despite its security flaws, Discord has played an essential role in fostering collaboration, allowing members to exchange experiences and keep track of ongoing developments in real time. Others suggest that with proper safeguards—like disabling direct messages and implementing stronger verification—scam incidents could be substantially lowered.

Recent security concerns have been intensified by an incident in October, where Discord confirmed that unauthorized access to a third-party Zendesk support system led to the exposure of sensitive data linked to age verification requests. Cybersecurity experts revealed that over two million images of passports and driver’s licenses were compromised in this breach, raising alarms about data management practices on the platform.

As the DeFi landscape continues to evolve, the departure from Discord reflects a pressing need for improved security and user experience in community engagement.