{"id":408225,"date":"2023-06-16T16:06:37","date_gmt":"2023-06-16T16:06:37","guid":{"rendered":"https:\/\/insidebitcoins.com\/?p=408225"},"modified":"2023-06-16T16:06:54","modified_gmt":"2023-06-16T16:06:54","slug":"sturdy-stablecoin-reopens-after-massive-exploit-of-800k","status":"publish","type":"post","link":"https:\/\/insidebitcoins.com\/news\/sturdy-stablecoin-reopens-after-massive-exploit-of-800k","title":{"rendered":"Sturdy Stablecoin Reopens After Massive Exploit of $800K"},"content":{"rendered":"
A DeFi platform Sturdy stablecoin Finance, resumes full business activities today, June 16, 3 days after the recent exploit on its platform.\u00a0<\/span><\/p>\n In <\/span>a recent tweet<\/span><\/a> on June 16, the lending platform announced that the Stablecoin market is now unparsed, granting user access to their funds. <\/span>The DeFi protocol reassured its users that their funds remained secure, stating, “No funds in this market were ever at risk.\u201d\u00a0<\/span><\/p>\n DeFi exploitations, which involve security vulnerabilities and unauthorized access, pose significant risks to users’ funds and the overall stability of the DeFi ecosystem.<\/span><\/p>\n According to the tweet, the platform claimed that the temporary pause of the stablecoin market was a precautionary measure taken to ensure safety. <\/span>Attached is a report <\/span>outlining the exploit and an update<\/span><\/a> on their investigation published by Sturdy Finance for the community.\u00a0<\/span><\/p>\n Notably, Sturdy Finance was alerted by a blockchain security firm <\/span>PeckShield<\/span><\/a>, reporting a transaction that seemed to be related to price manipulation.<\/span><\/p>\n After nearly an hour, the DeFi protocol <\/span>acknowledged the exploit<\/span><\/a> and promptly took action. They swiftly halted all their markets and reassured their users that no further funds were in jeopardy.<\/span><\/p>\n PeckShield <\/span>confirmed<\/span><\/a> that the attacker managed to move 442 ETH (approximately $800,000) to Tornado Cash which helped them to hide the funds, even though the DeFi lending platform acted quickly. <\/span>The exploit was executed by leveraging a flawed price oracle, which allowed the attacker to withdraw funds from the platform.<\/span><\/p>\n The blockchain security company also pointed out that the hack was done through a common hacking method known as a reentrancy attack.<\/span><\/p>\n This method allows hackers to manipulate the system by repeatedly calling a function in a single transaction before the initial function call is complete. <\/span>By doing this, hackers can withdraw more money than they were supposed to, surpassing the usual limits that are in place.<\/span><\/p>\n However, <\/span>in a tweet<\/span><\/a> by Sturdy Finance executive, he said they’re offering a $100,000 bounty to the hacker who performed the attack.<\/span><\/p>\n But, if the hacker refuses to return the funds to their wallet, the team emphasized that they’ll offer the money to anyone willing to assist them in arresting or recovering the funds.<\/span><\/p>\n A centralized crypto<\/a> exchange, GDAC, based in South Korea, was targeted in its first-ever attack.\u00a0<\/span>This incident marked a significant milestone for the exchange as it faced a security breach for the first time. <\/span>On April 9, the perpetrator seized control of GDAC’s hot wallets, resulting in a staggering theft of nearly $14 million.\u00a0<\/span><\/p>\n According to an <\/span>announcement made<\/span><\/a> by GDAC CEO Han Seunghwan on April 10, the exchange temporarily suspended all deposits and withdrawals and is currently undergoing emergency server maintenance.<\/span><\/p>\n \n <\/span><\/p>\n","protected":false},"excerpt":{"rendered":"Stablecoin Market Resumes on Lending Platform, Assuring Users of Fund Security<\/h2>\n
Notable Exploits in the Crypto Market 2023<\/h2>\n
GDAC Hack<\/h3>\n