Another DeFi hacked on Binance Smart Chain, this time Impossible Finance loses $ 500,000

Recently, the DeFi Impossible Finance protocol was hacked and about 230 ETH were stolen, which was the equivalent of $ 500,000 at the time.

Attack similar to BurgerSwap

According to Mudit Gupta, the core developer of the SushiSwap exchange, Impossible Finance (IF) was attacked by hackers by issuing fake tokens and starting a liquidity pool right above it.

Impossible funding was exploited today for $ 500,000.https://t.co/mzCPRluOjn

Same exploit as with burger swap:https://t.co/3PkVtn7Hi7

If the original project is hacked, why aren’t the forks responding?

– Mudit Gupta (@Mudit__Gupta) June 21, 2021

Although IF is not a fork of BurgerSwap (BURGER), the design of the two attacks looks very similar.

Calvin Chu, chief developer of Impossible Finance, stated that the scenario of the attack was not “easy” and that his team was looking for solutions to alleviate the ongoing problems.

One scenario, many hacks

According to WatchPug, the company that specializes in solving security problems in smart contracts in DeFi has shared the details of the attack. According to them, the hackers used the fake AAA token (BBB) ​​to create a liquidity pool.

Then, with the help of the Impossible Finance router, the hackers exchanged IF tokens for BUSD several times through a forged token liquidity pool.

The initial liquidity required for the attack was 233 Binance Coins (BNB) borrowed as flash loans on PancakeSwap, a very popular DeFi on Binance Smart Chain.

WatchPug experts said Furthermore, it was the weakness of the liquidity pool smart contract that caused the hack.

Binance Smart Chain has been the focus of many big hacks in the crypto space lately. In May, the DeFi Spartan Protocol was hacked with a loss of over $ 30 million, PancakeBunny lost 45 million, bEarn Fi lost 11 million, and BurgerSwap lost $ 7.2 million.

Teacher

According to the AZCoin News

Follow the Youtube Channel | Subscribe to telegram channel | Follow the Facebook page