Decentralized finance (defi protocol) Harvest Finance was hacked on Monday for $24 million. The attacker focused the protocol’s liquidity swimming pools, performing an arbitrage assault utilizing a big flash mortgage – a kind of uncollatarized mortgage – however later returned $2.5 million. In seven minutes, the hack was full.
Harvest Finance revealed that the hacker “manipulated costs on one cash lego (curve y pool) to empty one other cash lego [farm USDT (fUSDT), farm USDC (fUSDC)], many instances. The attacker then transformed the funds to renBTC and exited to bitcoin.”
RenBTC is a bitcoin-backed token used on the Ethereum blockchain.
Farm, Harvest’s native token, fell 54% to $101.79 on the information, in line with Coingecko information. Following the assault, the sum of money locked within the protocol additionally crashed to $575 million from $1 billion on Oct. 25, as fretful buyers pulled their deposits.
Harvest supplied a listing of 10 bitcoin addresses of the hacker, the place it believes the stolen funds might have been moved. It additionally requested exchanges like Binance, Coinbase, and Huobi to dam the attacker’s addresses.
The three-month-old platform stated that there’s a “vital quantity of personally identifiable data on the attacker, who’s well-known within the crypto neighborhood.” Not keen to dox the cyber-thief, Harvest Finance is now providing a $100,000 bounty “for the primary particular person or workforce to achieve out to the attacker”.
The $2.5 million returned by the hacker will probably be “distributed to the affected depositors pro-rata utilizing a snapshot,” Harvest tweeted.
Harvest’s hack comes simply six weeks after an attacker made off with $8.1 million in bitcoin from one other defi protocol, Bzx. Nevertheless, Bzx managed to recuperate the funds.
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