DeFi protocol Ola Finance lost $4,67 million due to hacker attack

An attacker used a vulnerability in a smart contract to withdraw funds

01.04.2022 - 11:40

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What’s new? Decentralized lending protocol Ola Finance lost $4,67 million in a hacker attack. This was announced by the project’s developers on their blog. The attacker reportedly exploited a “re-entrancy” vulnerability in the ERC-677/ERC-777 token standard. The smart contract bug allowed the protocol to send multiple requests and withdrawals.

Ola Finance’s blog

Details of the attack. A total of 216 964 USDC, 507 216 BUSD, 200 000 fUSD, 550,45 WETH, 26,25 WBTC and 1,24 million FUSE tokens were stolen. The representatives of Ola Finance stated that they will publish a compensation plan in the coming days detailing the distribution of funds to affected users.

What is known about Ola Finance? It is a platform for creating custom decentralized lending networks on the Fuse blockchain.

What preceded it? Earlier, the Ronin sidechain of the Axie Infinity ecosystem was hacked. The attacker withdrew more than $625 million in cryptocurrency. Two decentralized protocols, Hundred Finance and Agave were also hacked this month.

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