The developers of the decentralized finance project (DeFi) Compounder Finance have stolen $10.8M from users. They hid a function in the smart contracts that allowed them to withdraw funds from liquidity pools to third party wallets. As a result, they have stolen $750,000 in Wrapped Bitcoin, $4.8M in ether and $5M in DAI, as well as small volumes of other tokens, CoinDesk has reported.
Robert Leshner, the creator of the lending protocol Compound Finance, has called the incident one of the biggest thefts in the DeFi sector.
One of the investors has said he invested $1M in the project, and is offering $50,000 in exchange for any information that can help him recover his money.
The project had been audited by Solidity Finance. The company has said that it informed the project about the problem in early November. This means they had deliberately created the problem.
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