PancakeSwap

ℓUSD

Read

Linear Finance

Hong Kong-based defi protocol Linear Finance reported a security breach that drained its Linear USD token’s liquidity on PancakeSwap and Ascendex platforms. 
<a href="https://crypto.news/tag/hong-kong/" data-type="link" data-id="https://crypto.news/tag/hong-kong/" rel="noopener noreferrer nofollow">Hong Kong</a>‘s burgeoning defi ecosystem faced a significant setback this week as Linear Finance, one of its leading protocols, came under an unexpected attack. 
In an incident that jolted the defi community, malevolent actors exploited a <a href="https://linear.finance/defi/Linear_Whitepaper_EN.pdf" data-type="link" data-id="https://linear.finance/defi/Linear_Whitepaper_EN.pdf" target="_blank" rel="noopener noreferrer nofollow">vulnerability in the protocol</a>, resulting in a substantial liquidity drain of its Linear USD (ℓUSD) token. 
<figure class="wp-block-embed is-type-rich is-provider-twitter wp-block-embed-twitter"> 
 <div class="wp-block-embed__wrapper"> 
 <blockquote class="twitter-tweet" data-width="550" data-dnt="true"> 
 🗣️Urgent Update Re <a href="https://twitter.com/search?q=%24LUSD&amp;src=ctag&amp;ref_src=twsrc%5Etfw" target="_blank" rel="noopener noreferrer nofollow">$LUSD</a> 📢 The Linear stable coin <a href="https://twitter.com/search?q=%24LUSD&amp;src=ctag&amp;ref_src=twsrc%5Etfw" target="_blank" rel="noopener noreferrer nofollow">$LUSD</a> appears to be under an exploit attack. While the team investigates, DO NOT BUY LUSD, DO NOT TRADE <a href="https://twitter.com/search?q=%24LUSD&amp;src=ctag&amp;ref_src=twsrc%5Etfw" target="_blank" rel="noopener noreferrer nofollow">$LUSD</a> Liquidations are paused and users accounts are not at risk. Further updates will follow.— Linear Finance (@LinearFinance) <a href="https://twitter.com/LinearFinance/status/1704818417880936535?ref_src=twsrc%5Etfw" target="_blank" rel="noopener noreferrer nofollow">September 21, 2023</a> 
 </blockquote> 
 <script async src="https://platform.twitter.com/widgets.js" charset="utf-8"></script> 
 </div> 
</figure> 
According to a <a href="https://medium.com/linear-finance/%E2%84%93usd-exploit-283f2d32a2f3" data-type="link" data-id="https://medium.com/linear-finance/%E2%84%93usd-exploit-283f2d32a2f3" target="_blank" rel="noopener noreferrer nofollow">candid statement</a> released by Linear Finance, the entire liquidity of ℓUSD on both PancakeSwap and Ascendex was drained. The breach caused a catastrophic fall in the token’s value, plummeting its price to a staggering zero. 
The modus operandi of the attacker was shrewd: they exploited a flaw that allowed them to mint an infinite supply of ℓAAVE tokens. These were then exchanged for ℓUSD on the Linear Exchange, after which the attacker proceeded to liquidate them on <a href="https://crypto.news/tag/pancakeswap/" data-type="link" data-id="https://crypto.news/tag/pancakeswap/" rel="noopener noreferrer nofollow">PancakeSwap </a>and Ascendex. 
 You might also like: <a href="https://crypto.news/ftx-reports-security-breach-involving-bankruptcy-agent-kroll/" rel="noopener noreferrer nofollow"> FTX reports security breach involving bankruptcy agent Kroll </a> 
The gravity of such incidents in the defi world cannot be understated. <a href="https://crypto.news/learn/centralization-vs-decentralization/" data-type="link" data-id="https://crypto.news/learn/centralization-vs-decentralization/" rel="noopener noreferrer nofollow">Decentralization </a>brings with it the promise of heightened security, but as this incident demonstrates, it also presents unique challenges that demand rigorous monitoring and rapid interventions. 
Linear Finance, realizing the severity of the attack, promptly initiated a series of measures to mitigate further damage and safeguard its user base. 
The protocol momentarily paused all contracts that facilitated token minting, burning, or exchanging, demonstrating an effort to stall any additional suspicious activities. 
In a move signaling transparency and proactiveness, the ℓUSD Linear bridge contract was disabled. Furthermore, the protocol began actively tracking the attacker and has since disseminated the wallet addresses connected to the exploit to major exchanges and legal authorities. 
 Read more: <a href="https://crypto.news/palo-alto-ceo-warns-about-hacking-attacks/" rel="noopener noreferrer nofollow"> Rapid cyberattacks demand modernized security, says Palo Alto CEO </a>

Linear Finance faces security breach, takes swift action to rectify

crypto.news

Інші статті, опубліковані 21 вер. 2023 р.

Uranium3o8, the First-Ever Uranium Backed Token

Sam Bankman-Fried key witnesses blocked from testifying in upcoming trial

Inilah Dalang Di Balik Reli BTC Terbaru

MELI Stock Forecast: How Likely is (NASDAQ: MELI) to Hit $1600?

ZIM Stock Price Has Potential To Gain 30%, Suggests Analysts

Hong Kong's Crackdown on Misleading Crypto Marketing Sets Precedent for Industry Transparency

Приєднуйтеся до нашої безкоштовної розсилки для отримання щоденних оновлень щодо крипто!