The post Rhea Finance Hack Shakes DeFi as $7.6M Drained Through Fake Liquidity Trap appeared on BitcoinEthereumNews.com.

TLDR: Attackers deployed fake token contracts and added liquidity to new pools to exploit protocol validation systems. The exploit likely misled Oracle mechanisms, enabling the extraction of approximately $7.6 million in funds. Rhea Finance paused all contracts as a precaution while working with partners and experts on investigations. The team contacted the attacker via on-chain messaging while reviewing transactions to track fund movements. Rhea Finance has reported a security incident after an attacker exploited its protocol, resulting in losses of about $7.6 million. The team has paused contracts and begun an investigation while working with partners to address the situation. Attack Linked to Fake Tokens and Liquidity Pools Blockchain security firm CertiK disclosed the incident through its alert channel, explaining how the exploit unfolded. According to the report, the attacker deployed fake token contracts and introduced liquidity into newly created pools. #CertiKInsight We have seen an incident affecting @rhea_finance The attacker created fake token contracts and added liquidity in fresh pools, likely misleading the oracle and validation layer. In total, at least ~$7.6M was extractedhttps://t.co/qxuAFsVCOA — CertiK Alert (@CertiKAlert) April 16, 2026 This activity appears to have interfered with the protocol’s oracle and validation mechanisms.  As a result, the system processed incorrect data, which allowed the attacker to extract funds. CertiK estimated the total loss at approximately $7.6 million. The alert also referenced on-chain data linked to the attacker’s address. These transactions show how liquidity was added and later used to drain assets from the affected pools.  The structure of the exploit suggests a calculated approach rather than a random breach. Moreover, the use of fresh pools likely reduced immediate detection. This gave the attacker enough time to complete multiple transactions before any defensive action could take effect.  The sequence of events indicates that the exploit targeted core protocol functions…

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Filed under: News - @ April 17, 2026 2:26 pm