The assault concerned three transactions that transformed Wrapped Bitcoin and DAI into ETH.
Ethereum-based lending protocol Uwulend has been exploited to the tune of $20 million.
Cyvers Alerts detected the malicious conduct early Monday morning. An attacker executed three transactions that transformed WBTC and DAI into Ether.
The Uwulend workforce knowledgeable their customers through X that the platform has been paused whereas they examine the state of affairs.
The pockets deal with linked to the Uwulend exploiter holds a whopping 1,282 ETH or $4.7 million.
Notably, the UWU token didn’t react violently to the information. UWU dropped 3% to $2.91, which solely provides to its total downtrend. Over the previous yr, the token has shed 80% of its worth and showcases a $26 million market capitalization, as per information from CoinGecko.
Cyvers Alerts workforce members advised The Defiant that the attacker funded right now’s exploit with belongings withdrawn from cryptocurrency mixer Twister Money two days in the past.
Additionally they defined that the hack passed off attributable to a problem with a value oracle throughout 5 totally different tokens. “Particularly, the sUSDe asset’s worth is set utilizing a median from a number of sources,” Cyvers Alerts stated. Throughout the hack, 5 of those sources—FRAXUSDe, USDeUSDC, USDeDAI, USDecrvUSD, and GHOUSDe had been manipulated.
Uwulend touts itself as a decentralized non-custodial liquidity market protocol, and its web site reveals that the protocol has generated greater than $9.3 million in charges. In response to DefiLlama, it has $66 million in complete worth locked (TVL), which represents a close to 50% drop from its late April peak of $115 million.
The protocol was created by Sifu, the controversial co-founder of the now-defunct crypto change QuadrigaX. QuadrigaX is a Canadian firm that went underneath in 2019 after mysteriously dropping $190 million in buyer funds.
Sifu is but to make any public announcement concerning Uwulend’s exploit.
