Defi Platform Levana Protocol Says $1.14 Million Was Lost During an ‘Oracle Attack’

The decentralized concern level Levana Protocol confirmed connected Dec. 27 that chartless attackers had drained astir $1.14 cardinal from the liquidity pool. The Levana squad nevertheless insisted that the contented has “been fixed and opening positions volition relaunch adjacent week.”

‘Precognition Oracle Attacks’

The decentralized concern (defi) platform, Levana Protocol, precocious confirmed that it was a unfortunate of an oracle attack, successful which astir 10% oregon $1.14 cardinal was drained from the liquidity excavation (LP). However, successful an update shared via X connected Dec. 27, the Levana squad insisted that the contented has already “been fixed and opening positions volition relaunch adjacent week.”

According to the update, the onslaught occurred 14 days earlier, and implicit 12 days, the hackers were capable to drain astir 4% disconnected the LP. However, the onslaught accrued importantly during Osmosis congestion connected Dec. 26, resulting successful an further 5% drain. Initially, the Levana squad attributed the resulting alteration successful the nett and nonaccomplishment (PNL) to “organic trader profits and deficiency of effectual cash.”

There person been 7 wallets identified arsenic performing precognition oracle attacks connected Levana during times of web congestion, it is assumed these are from 1 atrocious actor.

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— Levana Protocol (@Levana_protocol) December 27, 2023

At the clip of writing, 7 wallets, which are presumed to beryllium to a atrocious actor, were said to person performed “precognition oracle attacks” connected the protocol during times of web congestion.

Impacted LPs to Receive Airdrop

Commenting connected fears that hackers volition proceed to drain the LPs, the Levana squad said:

“Existing LPs are not astatine hazard of further exploit since opening caller positions was paused yesterday morning. Impacted LPs volition beryllium compensated done aboriginal airdrops and protocol fees collected astatine the clip of the exploit.”

Meanwhile, successful a Medium post, the Levana squad insisted that the protocol’s caller issues had “nothing to bash with Osmosis arsenic a concatenation itself.” Rather, the issues look to stem from the limitations of the Cosmos bundle improvement kit (SDK) and Tendermint.

The squad besides revealed that, successful summation to fixing the vulnerability, Levana volition assistance an airdrop to LPs impacted by the exploit. Furthermore, the affected LPs volition person a stock of the fees collected during the onslaught window.

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