Another Weekend, Another Hacking Incident in the Crypto Market—This Time, Another Platform Has Announced It Was Hacked

Scallop, a lending protocol operating within the $SUI ecosystem, announced a loss of approximately 150,000 $SUI coins due to a security vulnerability in a side contract. The company stated that it will cover the full amount of the loss.

At the current $SUI price, the loss is approximately $142,000.

According to the official statement, the incident occurred as a result of the misuse of a “spool” subcontract connected to Scallop’s sSUI reward pool. It was added that only the reward pool was affected by the attack, and the protocol’s main contracts remained secure. Officials emphasized that all other liquidity pools and user assets were unaffected by this incident.

The company stated that after the security vulnerability was detected, it froze the relevant contract and prevented further losses through a swift response. A subsequent update indicated that the core contracts have been reactivated and all transactions on the platform have returned to normal.

Scallop also clarified that the issue did not stem from the main protocol and was limited to a now-defunct rewards agreement. User deposits were reportedly unaffected, and deposit and withdrawal transactions continued without interruption.

*This is not investment advice.