blockster.com
Recent reports have revealed that Deus Finance, a popular multi-token DeFi platform, became a victim of an exploit. An unknown hacker (or hackers) used the flaw to rob the platform of $3 million worth of crypto. According to reports, the loss includes 200,000 DAI and 1101.8 ETH.
Despite the DeFi sector being around for years, its security is still far from perfect. Many of its protocols have recently suffered breaches and exploits, which usually result in thefts of large amounts in digital currency. The exploit of Deus Finance is the most recent example of this assault on DeFi by online criminals.
According to PeckShield, a DeFy analytic platform that took interest in the incident, Deus Finance was exploited in a way that allowed the hacker to steal approximately $3 million in assets. The company explained that the hack was possible because of a “flashloan-assisted manipulation of price oracle that reads from the pair of StableV1 AMM - USDC/DEI.” Sounds complicated!
The company further added that the hacker used his/her initial funds to launch an attack, and that these funds were traced back to Tornado.cash — a fully decentralized protocol for private transactions on Ethereum. In addition, the hacker used a cross-chain router protocol called Multichain to tunnel the funds to Fantom. Meanwhile, the gains were tunneled back through Multichain and then washed via Tornado.cash.
Deus Finance was quick to acknowledge the exploit. It revealed the incident on Twitter (on March 15th) stating that it closed the DEI lending contract from which the funds were taken. The company also claimed that neither DEUS nor DEI was affected by the exploit.
The company also announced that its developers are trying to create a clear summary of the events surrounding the attack, which will then be presented once they have a full understanding of the situation.
Meanwhile, the company’s CEO, Lafayette Tabor, ensured the community that there are reimbursement plans in place and that a new contract will soon be launched, where the affected users will be able to repay the loans.