Altcoins Talks - Cryptocurrency Forum
Cryptocurrency Ecosystem => DeFi tokens => Topic started by: Jaya60 on October 18, 2021, 02:07:01 AM
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The project is the latest DeFi protocol to be hit with a monster attack. On Thursday, a hacker ran off with $16 million from decentralized finance (DeFi) project Indexed Finance—but now the protocol’s team says they know who the attacker is.
Indexed Finance is a DeFi project built on Ethereum. It produces tokens that track market indexes. A hacker took the assets that were backing the value of the index tokens by finding a vulnerability in the protocol’s smart contracts.
The attack was typical of DeFi exploits: the hacker took advantage of the flash loan mechanism by overloading the protocol with new assets. This lowered the price of the Indexed tokens, which then allowed the attacker to mint new ones and cash them out.more information (https://decrypt.co/83681/defi-protocol-indexed-finance-hacked-for-16-million-team-finds-hacker)