Hackers today attacked QuickSwap, a decentralized exchange (DEX) that provides access to wrapped Bitcoin and many other altcoins. He stole $220,000 in a flash loan exploit. Here are the details…
Bitcoin and altcoin platform hacked
DEX said on Monday it was shutting down its lending protocol, QuickSwap Lend, following the exploit. He added that the only platform that has faced an exploit is the Market XYZ lending market. According to DEX, users also did not lose any money. Popular in the world of DeFi (decentralized finance), flash loans allow crypto users to get instant loans without collateral.
However, nowadays, they are prone to exploits, just like QuickSwap. As we reported on cryptocoin.com, flash loan exploits very common in DeFi are when a high-capital bad actor manipulates the price of an asset by taking out a large number of loans, and then quickly sells back the borrowed capital to make a profit. Blockchain security firm PeckShield has released the details of the exploit. A few hours later, hackers were using the approved token mixer Tornado Cash to hide the source of the funds, according to Etherscan data. People use QuickSwap to buy and sell tokens. As a DEX, it does not require registration and has no middleman. So anyone can use it.
Altcoin price lost value
QuickSwap is a fork of Uniswap DEX, one of the largest DeFi applications in the crypto space. But unlike Uniswap, it does not run on Ethereum, but on Polygon, the Blockchain behind MATIC, the 12th largest cryptocurrency. DEXs are vulnerable to flash credits and other attacks. Since users are in complete control of their funds, there is no insurance as there would be in a centralized exchange.
After the development, the value of Quickswap’s QUICK token experienced a slight deceleration. QUICK was down 3 percent. It declined from $ 0.058 to $ 0.055. Still, it seems to reset the depreciation at the time of writing. It managed to climb up to $ 0.05899.
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