The digital currency market recently witnessed another round of hacking in the decentralized financial (DeFi) space. The recently partnered Rari Capital and Fei protocol are the latest victims of malicious attackers.
This hack was first pointed out by blockchain security company BlockSec. In a tweet, BlockSec said the surveillance system detected attacks on multiple pools on Rari Capital’s Fuse lending platform. Hackers have exploited a protocol codebase reentrant vulnerability revealed by BlockSec to steal more than $ 80 million and highlight the exact line of code that was exploited to empty the pool.
A photo worth a thousand words ? pic.twitter.com/dVxTMMpWZM
— BlockSec (@BlockSecTeam) April 30, 2022
This exploit was subsequently confirmed by Jack Longarzo of Rari Capital. Longarzo revealed that a total of six pools were attacked and currently have bad debts. The platform also suspended the withdrawal of ETH while the team was working on fixing the vulnerability.
“Fortunately, the tribal DAO is in a good position to support backstops. Ultimately, the community makes this decision on how to move forward and guarantees those who may have lost money. We offer. This is a pain today, but we will survive, grow and move forward stronger, “he said.
Fortunately, Tribe DAO is in a good position to support backstops. Ultimately, the community makes this decision on how to move forward and provides guarantees to those who may have lost money.
This is a pain today, but we survive, grow and move forward stronger.
— Jack Longarzo (@JackLongarzo) April 30, 2022
Fei Protocol, a stablecoin partner based on Rari Capital’s algorithm, provided hackers with a $ 10 million incentive to return the spilled money. Meanwhile, Rari Capital suffered a similar hack last May, losing about $ 10.
Recognizes exploits in various RariFuse pools. We have suspended all borrowing to identify the root cause and mitigate further damage.
Get a $ 10 million bounty for abusers. There is no question as to whether to return the remaining user funds.
— Fei protocol (@feiprotocol) April 30, 2022
For Peck Shield caveat Other splits of the Compound protocol, such as Rari Capital, are to alert you to vulnerabilities in which the protocol has just been exploited.
Increased distributed protocol hacks
As the value of digital currencies and the blockchain ecosystem grows, so does the attention of hackers. This year, two record digital currency thefts from the blockchain platform have already been witnessed in this space.
The first was the Solana-Etherium cross-chain bridge in Wormhole, which lost more than $ 320 million in February and set the record for the largest exploit at the time. But in March, the Axie Infinity Ronin network exploit, which cost more than $ 640 million, quickly surpassed it.
One of the reasons for the increase in attacks is the poor security audit culture in the industry. In a recent interview, cybersecurity firm Hacken’s CEO said that exploits could be reduced if private investors demanded increased accountability and transparency from audit firms and projects.
Watch: CoinGeek New York Panel, Investigation of Crime Activity on Blockchain
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