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News

Inverse Finance Was Hacked, banteg Asked Peckshield To Delete Tweet

June 16, 2022 - Around 3 mins mins to read
On June 16, a security vulnerability of Inverse Finance was attacked. However, it is worth mentioning again the unexpected reaction from banteg (the programmer of Yearn) and samczsun (a famous white-hat hacker in the community).
Inverse Finance Was Hacked, banteg Asked Peckshield To Delete Tweet

As usual, Peckshield is always an early warning unit for DeFi projects about security holes. This time, the name mentioned is Inverse Finance. However, the DeFi community stirred when the banteg tweeted asking Peckshield to delete this tweet.

Inverse Finance Was Hacked, banteg Asked Peckshield To Delete Tweet

After being questioned by the community about the “decentralization” of the statement, banteg said that samczsun had seen larger holes. From there, banteg said it was necessary to delete the above tweet for processing and to ensure the safety of users’ assets.

Currently, Peckshield’s side has deleted the tweet and confirmed that there will be a report after the case is handled.

The DeFiyst account claims that Inverse was hit by a flash loan attack, with a total loss of ~ $1.2 million (including 53 BTC and 100,000 USDT). The hacker then transferred the money to Tornado Cash for laundering.

Digging into the transaction with hash code 0x958236266991bc3fe3b77feaacea120f172c0708ad01c7a715b255f218f9313c, it can be seen that the hacker used wallet 0xf508c58ce37ce40a40997c715075172691f92e2d to flash a loan of about 27,000 WBTC (more than $500 million) from Aave V2. The hacker then took advantage of a certain vulnerability in Inverse Finance’s yvCRV3Crypto pool.

Inverse Finance Was Hacked, banteg Asked Peckshield To Delete Tweet
Source: etherscan.io

From there it is possible to withdraw a large amount of WBTC and USDT from this pool. Currently, Inverse Finance and Yearn have not yet had a detailed report on the incident. The banteg request to delete the tweet may be because of a loophole from Yearn that the team needs to fix.

In the latest announcement, Inverse acknowledged the existence of a vulnerability and said it had paused the loan function to investigate the issue.

It is known that this is not the first time Inverse Finance has been named. In April 2022, Inverse was also a victim of hackers, with an estimated loss of $15 million at that time.

DISCLAIMER: The Information on this website is provided as general market commentary and does not constitute investment advice. We encourage you to do your own research before investing.

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Harold

CoinCu News

Aave V2

banteg

DeFiyst

hacked

Inverse Finance

Peckshield

Samczsun

Tornado cash

USDT

WBTC

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Author

Harold

With a passion for untangling the complexities of the financial world, I've spent over four years in financial journalism, covering everything from traditional equities to the cutting edge of venture capital. "The financial markets are a fascinating puzzle," I often say, "and I love helping people make sense of them." That's what drives me to bring clear and insightful financial journalism to the readers of Coincu.
News

Inverse Finance Was Hacked, banteg Asked Peckshield To Delete Tweet

On June 16, a security vulnerability of Inverse Finance was attacked. However, it is worth mentioning again the unexpected reaction from banteg (the programmer of Yearn) and samczsun (a famous white-hat hacker in the community).
Inverse Finance Was Hacked, banteg Asked Peckshield To Delete Tweet

As usual, Peckshield is always an early warning unit for DeFi projects about security holes. This time, the name mentioned is Inverse Finance. However, the DeFi community stirred when the banteg tweeted asking Peckshield to delete this tweet.

Inverse Finance Was Hacked, banteg Asked Peckshield To Delete Tweet

After being questioned by the community about the “decentralization” of the statement, banteg said that samczsun had seen larger holes. From there, banteg said it was necessary to delete the above tweet for processing and to ensure the safety of users’ assets.

Currently, Peckshield’s side has deleted the tweet and confirmed that there will be a report after the case is handled.

The DeFiyst account claims that Inverse was hit by a flash loan attack, with a total loss of ~ $1.2 million (including 53 BTC and 100,000 USDT). The hacker then transferred the money to Tornado Cash for laundering.

Digging into the transaction with hash code 0x958236266991bc3fe3b77feaacea120f172c0708ad01c7a715b255f218f9313c, it can be seen that the hacker used wallet 0xf508c58ce37ce40a40997c715075172691f92e2d to flash a loan of about 27,000 WBTC (more than $500 million) from Aave V2. The hacker then took advantage of a certain vulnerability in Inverse Finance’s yvCRV3Crypto pool.

Inverse Finance Was Hacked, banteg Asked Peckshield To Delete Tweet
Source: etherscan.io

From there it is possible to withdraw a large amount of WBTC and USDT from this pool. Currently, Inverse Finance and Yearn have not yet had a detailed report on the incident. The banteg request to delete the tweet may be because of a loophole from Yearn that the team needs to fix.

In the latest announcement, Inverse acknowledged the existence of a vulnerability and said it had paused the loan function to investigate the issue.

It is known that this is not the first time Inverse Finance has been named. In April 2022, Inverse was also a victim of hackers, with an estimated loss of $15 million at that time.

DISCLAIMER: The Information on this website is provided as general market commentary and does not constitute investment advice. We encourage you to do your own research before investing.

Join CoinCu Telegram to keep track of news: https://t.me/coincunews

Follow CoinCu Youtube Channel | Follow CoinCu Facebook page

Harold

CoinCu News