The latest hack targeting DeFi altcoin projects was DEUS Finance (DEUS), which took place earlier this morning and resulted in losses of $13.4 million.
DeFi investors woke up to million dollar hack news
DEUS Finance DAO protocol is the latest DeFi altcoin project to be targeted by a major attack. The attack came through a flash loan vulnerability to target the multi-chain DeFi project running on Ethereum, Fantom, BNB Chain and a number of other layer one networks. The problem was detected early this morning. Regardless, the team says the funds are safe:
The development team is working on the DEI case. 1-) User funds are safe. No users were purged. 2-) DEI loans are temporarily suspended. 3-) DEI stabilizer has been restored.
DEUS Finance (DEUS) price is 15% in a short time as the attack is exposed. lost more than . It is trading around $550 after buyers at $500.
On-chain data shows that an attacker used a flash loan to target the DEUS liquidity pool in Phantom. Pioneered by Ethereum DeFi project Aave, “flash loans” allow DeFi users to borrow endless amounts without having to provide any collateral as long as they repay the loan in the transaction they borrowed. As an example of DeFi innovation, flash credits have been contentious due to their massive involvement in several million dollar hacks.
The DEUS Finance attack follows a series of DeFi altcoin hacks
According to Blockchain security firm PeckShield, which shared the autopsy of the hack on Twitter, the hacker used the credit to secure DEUS’s DEI stablecoin. manipulated the pricing oracle code to fraudulently increase its value. He then used DEI as collateral to borrow more funds and completed a swap using USDC. After paying off the flash loan, the remaining amount was around $13.4 million.
After the successful execution of the flash credit attack, the hacker generates the Phantom revenues to Ethereum and used Tornado Cash, an Ethereum-based privacy protection mechanism often used in DeFi attacks, to dump assets to a “clean” address.
According to DEUS’ statement stating that DEI credit has been stopped, users’ money is safe. He also said he would provide more information later. After suffering a $3 million flash credit exploit just last month, he’ll have some explanations to make. We will be conveying the details as Kriptokoin.com…
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