Protocol Value DeFi Loses $6M in Hacker Attack
Main page News, Hacker Attack, DeFi
Hot topic
Nov. 16, 2020

Decentralized finance protocol Value DeFi has been attacked by a hacker or hackers, which has resulted in the loss of $6M.

According to the protocol's official Twitter account, Value DeFi lost $6M on Saturday, possibly due to a flash loan attack, a fairly common type of attack in the DeFi sector.

Data provided by the Etherscan resource shows it could indeed be a flash loan attack after a hacker or group of hackers managed to borrow 80,000 ethers from the DeFi lending platform Aave.

These types of loans allow users to borrow funds without providing any collateral because the lender expects the funds to be returned instantly.

Taking advantage of the unsecured loans, the attackers arbitrated the funds between the stablecoins DAI and USDC after depositing the funds in the Value DeFi's MultiStables vault.

This attack comes just a few days after DeFi protocol Akropolis lost $2M.

Subscribe to our Telegram channel to stay up to date on the latest crypto and blockchain news.

Read also:
Please describe the error
Close