Convergence

Token

DeFi

Tornado

<a href="https://bitcoinworld.co.in/defi-protocol-convergence-hacked-cvg-token-plunges-99-on-curve/" title="DeFi Protocol Convergence Hacked, CVG Token Plunges 99% On Curve" rel="noopener noreferrer nofollow"></a>
<ul>
 <li style="font-weight: 400">DeFi protocol Convergence hacked, causing the protocol’s CVG token to plunge 99% on Curve</li>
 <li style="font-weight: 400">The exploiter created 58 million of the CVG token and then swapped for roughly $200,000 worth of wrapped ETH and crvFRAX and forwarded to Tornado Cash.</li>
</ul>
Decentralized finance protocol Convergence, a Curve-based yield-enhancing protocol, was <a href="https://twitter.com/Convergence_fi/status/1819032027842113959" rel="noopener noreferrer nofollow">exploited</a> Thursday, sending its token’s price to near-zero.
<blockquote class="twitter-tweet" data-width="550" data-dnt="true">
 <img src="https://s.w.org/images/core/emoji/15.0.3/72x72/1f6a8.png" alt="🚨" class="wp-smiley" style="height: 1em; max-height: 1em;"> URGENT COMMUNICATION <img src="https://s.w.org/images/core/emoji/15.0.3/72x72/1f6a8.png" alt="🚨" class="wp-smiley" style="height: 1em; max-height: 1em;">
 Convergence has been hacked. Please don't interact with the protocol.
 — Convergence (@Convergence_fi) <a href="https://twitter.com/Convergence_fi/status/1819032027842113959?ref_src=twsrc%5Etfw" rel="noopener noreferrer nofollow">August 1, 2024</a>
</blockquote>
<script async src="https://platform.twitter.com/widgets.js" charset="utf-8"></script>
The attacker created (minted) 58 million of the protocol’s CVG token using a vulnerability in the protocol’s codebase, and swapped the tokens for 60 wrapped ether (wETH) and 15,900 crvFRAX stablecoin using liquidity pools on Curve, web3 security auditing firm QuillAudits said.
Blockchain <a href="https://etherscan.io/address/0x03560a9d7a2c391fb1a087c33650037ae30de3aa" rel="noopener noreferrer nofollow">data</a> on Etherscan shows that the attacker’s address converted the funds to ether (ETH) and sent the tokens to Tornado Cash.
The attack caused about $210,000 loss, QuillAudits added.
CVG holders, however, suffered additional damage as the token’s $17 million fully diluted value (FDV) before the attack evaporated. CVG’s price declined 99% in the Curve liquidity pools, nosediving to $0,0004 from trading around $0.12 earlier today.
Convergence asked users not to interact with the protocol.
Disclaimer: The information provided is not trading advice. Bitcoinworld.co.in holds no liability for any investments made based on the information provided on this page. We strongly recommend independent research and/or consultation with a qualified professional before making any investment decisions.
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DeFi Protocol Convergence Hacked, CVG Token Plunges 99% On Curve

ItsBitcoinWorld

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