A Deep Dive into This Week’s $10M DeFi Exploits
The post A Deep Dive into This Week’s $10M DeFi Exploits appeared on BitcoinEthereumNews.com.
While many aspects of the cryptocurrency continue to evolve, the space remains vulnerable to security risks and this week saw several big DeFi hacks. Most of these hacks have led to millions in loss with investors having their confidence dented while at the same time, these hacks have exposed weaknesses within decentralized finance protocols. Here are the key incidents that occurred: Bedrock DeFi Hit by $2 Million Exploit The multi-chain liquidity re-staking protocol, Bedrock, fell on a vulnerability in its uniBTC pool. Hackers took advantage of an issue in the smart contract, which allowed uniBTC to be minted at an incorrect 1:1 exchange rate with the native currency of the platform it represents. This error allowed attackers to pull out liquidity, which cost $2 million. Subsequently, Bedrock has informed that the BTC and wbtc reserves are still there and the platform has been working with the audit teams to get to the bottom of the hack and attempt a fund recovery where possible. Truflation Hack: $5M stolen from the treasury wallets Truflation, a decentralized inflation data provider, lost $5 million from their treasury multi-sig and personal wallets across multiple blockchains to hackers, as initially reported by on-chain investigator ZacXBT. This breach occurred due to malware that provided the attackers access to the keys and wallets critical to the website. Onyx Hit by $3M Hack: Exploit targets decentralized protocol Another protocol that followed the same example was Onyx protocol, which fell for the scammers and incurred a $3.8 million loss. They learned how to abuse a precision defect in the Compound V2 code in order to manipulate the exchange rate and pump up rewards for self-liquidation. Furthermore, a vulnerability in the Implementation NFTLiquidation contract was found to sum up the previously mentioned negative input and amplify the possibility of a loss.…
Filed under: News - @ September 28, 2024 9:17 am