Avalanche-Based Zabu Finance Exploited in $3.2M Hack
www.coindesk.com 13 September 2021 09:32, UTC
Reading time: ~2 m
Zabu Finance, an Avalanche-based decentralized finance (DeFi) protocol, has been exploited for $3.2 million.
The protocol tweeted Saturday that its Spore Pool was possibly under an exploit, and confirmed the attack on Sunday.
The attacker used Zabu’s “Transfer Tax” mechanism to mint tokens, causing their value to slide to zero from about $0.0047.
Having removed 4.5 billion ZABU tokens, the attacker then dumped them on the Trader Joe’s and Avalanche Pangolin exchanges on the Avalanche network.
Zabu plans to take a snapshot of the situation immediately before the exploit to protect both users who lost money pre-hack and those who bought in afterwards.
The exploit totaling an estimated $3.2 million is probably the “first big exploit” on the Avalanche blockchain, according to DeFi analytics provider DeFiprime.
Read more: Can Avalanche Keep It Up? DeFi Users Rush In as Incentives Roll Out
Back to the list