Bitget App
Trade smarter
Buy cryptoMarketsTradeFuturesCopyBotsEarn
WOOFi Confirms $8M Attack on Its Arbitrum Lending Market

WOOFi Confirms $8M Attack on Its Arbitrum Lending Market

DailyCoinDailyCoin2024/03/06 11:57
By:DailyCoin
  • WOOFi has lost millions of dollars to an attack.
  • The decentralized exchange confirmed the news on Wednesday.
  • Efforts to recover the stolen funds are underway.

Cross-chain decentralized exchange WOOFi is counting millions of dollars in losses following an exploit on its Arbitrum lending market, the company said on Wednesday.

On March 5 at about 15:49 UTC, multiple blockchain security firms alerted the crypto community to flash loan attacks targeting WOOFi Swap on Arbitrum . The firms that picked up the development include PeckShield, Hypernative, and Chainalysis.

In response to the news, the WOOFi team paused the manipulated contracts at about 16:02 UTC. It launched an investigation into the matter, culminating in a post-mortem report shared on March 6.

WOOFi Confirms the Attack

Per the report , the hacker launched the attack by manipulating the sPMM algorithm that controls the pricing on Arbitrum-based WOOFi Swaps after borrowing 7.7 million WOO tokens and “some other assets.”

“At this point WOOFi’s sPMM incorrectly adjusted WOO to an extreme price which was close to zero, and the exploiter then swapped out 10M WOO in the same transaction with almost no cost. The exploiter repeated this attack 3 times within a very short period of time, which netted about $8.75m in profits after returning the flash loans,” the statement read.

While other WOOFi contracts were unaffected and are operational, the WOOFi Swap v2 is still paused, with the team hoping to resolve the issue soon and “redeploy within two weeks” while continuing with its plan to release the v3 version later this spring.

In the meantime, the team has initiated efforts to recover the stolen funds, with a 10% whitehat bounty offered to the exploiter.

Stay updated on how much crypto hackers made in February:

Crypto Hackers Bag $104.73M from Over 20 Attacks in February

Read why BitForex is stirring exit scam fears:

Here’s Why BitForex Is Stirring Exit Scam Fears Among Users

0

Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.

PoolX: Locked for new tokens.
APR up to 10%. Always on, always get airdrop.
Lock now!

You may also like

Chinese Analyst Assesses Ethereum’s Status, Says “Whales Have Run Out of Purchasing Power” – Here’s What He Expects

Chinese cryptocurrency analyst phenomenon Murphy evaluated the latest status of Ethereum in his statement. Here are the details.

Bitcoinsistemi2025/03/16 16:00

Skipped Bitcoin Cash? Qubetics ($TICS) Could Be Your Redemption Ticket – Top Cryptos for Significant Returns

The crypto market has been on fire lately. With the spotlight shifting to new and innovative blockchain projects, everyone’s eyes are on which cryptos will make waves this year.Bitcoin Cash: A Missed Opportunity for Significant ReturnsQubetics: Revolutionizing Digital Finance with Real-World Asset TokenizationConclusion: Time to Act on Qubetics

Coinomedia2025/03/16 14:33

BTC Short Position by ETH Whale Nears $332M

A crypto whale boosts their BTC short position to $332M, facing losses and potential short squeeze risk.Whale Boosts BTC Short Position Amid Market VolatilityRisk of Liquidation LoomsStrategic Buy Orders Placed

Coinomedia2025/03/16 14:33

Pakistan Launches Crypto Council Led by Finance Minister

Pakistan forms Crypto Council to boost blockchain and crypto adoption, chaired by Finance Minister Muhammad Aurangzeb.Pakistan Takes a Bold Step Toward Crypto AdoptionFinance Minister to Lead the InitiativeFocus on Innovation and Financial Inclusion

Coinomedia2025/03/16 14:33