Beanstalk Stablecoin Protocol On Ethereum Lost $182 Million Due To Exploit

Beanstalk, a lending-oriented stablecoin protocol built on Ethereum, was hacked on Sunday morning. The protocol lost about $182 million in various crypto assets, according to findings from blockchain security firm PeckShield.

The hacker was able to extract about $80 million from the protocol, which was sent through Tornado Cash (TORN) , a cryptocurrency mixing protocol that allows for private transactions, PeckShield said.

According to updated data, the attacker received 24,830 ETH – an amount of approximately $ 75.8 million at the time of publication. The rest of the withdrawn funds were in the form of depleted liquidity associated with the protocol governance token.

As to how the exploit was carried out, indications indicate that the hacker used the hoarding of governance tokens obtained through an instant loan to create a fake proposal to improve the protocol for transferring funds held by Beanstalk to an address used to collect donations for government of Ukraine.

Also Read: Is AAVE Cryptocurrency a Good Investment?

Leave a Reply

Your email address will not be published. Required fields are marked *