2 years ago
Decentralized lending protocol Ola Finance was exploited for implicit $4.67 cardinal successful a “re-entrancy” onslaught connected Thursday, according to a post-mortem report released by developers.
Ola operates a decentralized concern (DeFi) protocol crossed respective blockchains, and Thursday’s onslaught targeted its deployment connected the Fuse network. DeFi refers to the usage of astute contracts alternatively of 3rd parties for fiscal services specified arsenic lending and borrowing.
Ola's services connected the Fuse web was exploited for 216,964.18 USDC, 507,216.68 BUSD, 200,000.00 fUSD, 550.45 wrapped ether, 26.25 wrapped bitcoin, and 1,240,000.00 FUSE. This is worthy implicit $4.67 cardinal astatine existent prices.
The onslaught occurred via a re-entrancy vulnerability successful the ERC677 token standard. Reentrancy is simply a communal bug that allows attackers to instrumentality a astute declaration by making repeated calls to a protocol successful bid to bargain assets. A telephone is an authorization for the astute declaration code to interact with a user’s wallet address.
In the archetypal heist transaction, the attacker took a 515 WETH flash indebtedness from the WETH-WBTC brace connected Voltage Finance to money the attack. In aboriginal transactions, the attacker avoided a flash indebtedness by utilizing the funds that had already been stolen, the post-mortem study confirmed. Voltage is simply a decentralized trading protocol that allows for the automated trading of DeFi tokens connected the Fuse network.
Attackers were capable to instrumentality Voltage’s astute contracts by transferring wrapped assets – generating utilizing flash loans, a signifier of uncollateralized lending – and calling the astute declaration into transferring funds from Voltage to the hacker’s addresses.
Ola Finance said the onslaught could not beryllium replicated connected different lending networks that it supports. “We volition analyse each token’s “transfer” logic to marque definite nary problematic token standards are successful use,” the developers said.
Meanwhile, Voltage said it was speaking with outer parties to hint the attacker and make a program to compensate affected users.
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Shaurya is an analyst/editor for CoinDesk's markets squad successful Asia.
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