• BTC Dominance: %
XBT.Market
Advertisement
  • Home
  • Coins MarketCap
  • Crypto Exchanges
  • Crypto Calculator
  • Top Gainers and Loser
  • News
  • Contact Us
No Result
View All Result
XBT.Market
No Result
View All Result
Home Bitcoin

Avalanche flash loan exploit sees $371K in USDC stolen

Jon Hartney by Jon Hartney
September 8, 2022
in Bitcoin, Blockchain, Business, Market
0
189
SHARES
1.5k
VIEWS
Share on FacebookShare on Twitter

The scammer deployed a custom smart contract, leveraging a $51 million flash loan to manipulate the AVAX/USDC Trader Joe LP pool price for a single block.

Avalanche-based lending protocol Nereus Finance has been the victim of a crafty hack that saw a user net $371,000 worth of USD Coin (USDC) using a smart contract exploit.

Blockchain cybersecurity firm CertiK was one of the first to detect the exploit on Sept. 6, indicating that the attack impacted liquidity pools on Nereus relating to decentralized exchange Trader Joe and automated market maker Curve Finance.

Related articles

Bitcoin derivatives data shows room for BTC price to move higher this week

January 23, 2023

Bitcoin price consolidation opens the door for APE, MANA, AAVE and FIL to move higher

January 22, 2023

CertiK also suggested that underlying protocols themselves were impacted, however, Curve Finance responded via Twitter on Sept. 7, stating “maybe you meant ‘assets impacted,’ not ‘protocols impacted’. Only @nereusfinance and its assets seem impacted.”

On Sept. 7, Nereus Finance released a detailed post-mortem of the incident explaining an “exploiter” was able to deploy a custom smart contract that utilized a $51 million flash loan from Aave to artificially manipulate the AVAX/USDC Trader Joe LP (JLP) pool price for a single block.

We've published a post-mortem on the NXUSD incident from yesterday. https://t.co/ADhu6PagP2
Thanks @peckshield @CertiK

— Nereus Finance (@nereusfinance) September 7, 2022

As a result, the anonymous hacker was able to mint 998,000 worth of Nereus’ native token NXUSD against $508,000 worth of collateral. They then swapped this capital into different assets via various liquidity pools and managed to walk away with a net profit of $371,406 once the flash loan was returned. 

The incident ended with to the creation of $500,000 of NXUSD “bad debt” in the NXUSD protocol.

The Nereus team says it was quick to remedy the situation; after consulting security experts, developing a mitigation plan, and notifying law enforcement, they liquidated and paused the exploited JLP market.

The bad debt was reportedly paid off using NXUSD from the team’s treasury.

According to Nereus, the exploit resulted from a “missed step” in the price calculation, resulting in the opportunity to be exploited. However, it stressed that “no users funds are at risk, and NXUSD continues to be over collateralized” and the “Lending and Borrowing protocol was not affected by this exploit.”

Nereus is also confident the same exploit won’t be possible a second time, as the team will be  amending its “audit and security practices in order to ensure these types of events do not occur in the future,” noting:

“While this exploit is a bad incident — it’s not uncommon for protocols to face these types of battle tests.”

As of this writing, the Nereus team is trying to identify the hacker and track the funds and has offered a 20% White Hat reward for the return of the funds, no questions asked.

Related: Solana-based stablecoin NIRV drops 85% following $3.5M exploit

Despite this recent flash loan exploit and several other notable incidents throughout the year, CertiK’s August 2022 Monthly Skynet Alerts Report, released on Sept. 2, claims there has been a notable decrease in these types of attacks.

Compared to the previous month, August saw a drop of 95% in flash loan attacks, only resulting in a total loss of $745,244, the second lowest this year.

February still has the lowest recorded loss from flash loan exploits with only $200,000.

Read Entire Article
Tags: CointelegraphCryptocurrencyInvestmentMining Bitcoin
Share76Tweet47

Related Posts

Bitcoin derivatives data shows room for BTC price to move higher this week

by Jon Hartney
January 23, 2023
0

BTC options data suggest that the Bitcoin price rally still has legs, even with wider economic concerns growing and the

Bitcoin price consolidation opens the door for APE, MANA, AAVE and FIL to move higher

by Jon Hartney
January 22, 2023
0

BTC could take a break from its sharp rally and if BTC price bounces off underlying support, APE, MANA, AAVE...

Genesis bankruptcy case scheduled for first hearing

by Jon Hartney
January 22, 2023
0

The first hearing in Genesis Capital's bankruptcy case will be held on January 23, according to court filings

Terra lending protocol Mars to launch mainnet

by Jon Hartney
January 22, 2023
0

The Mars Hub will launch an independent Cosmos application chain and issue MARS to users who hold the token during...

Central African Republic eyes legal framework for crypto adoption

by Jon Hartney
January 22, 2023
0

A 15-member committee is tasked with working on a legal framework that will allow cryptocurrencies to operate in

Load More
  • Trending
  • Comments
  • Latest

Ethereum Classic gets ‘endorsement’ from Vitalik Buterin, but ETC price still risks 50% crash

July 27, 2022

Critique on Helium’s $6.5K monthly revenue causes a stir

July 28, 2022

All aboard! Elon Musk’s Vegas Loop now taking Dogecoin payments

July 7, 2022

Cardano Vasil hard fork hit with another delay for several weeks

July 29, 2022

All aboard! Elon Musk’s Vegas Loop now taking Dogecoin payments

0

Crypto owners banned from working on US Government crypto policies

0

Korean startup Uprise lost $20M shorting LUNC

0

Ethereum testnet Merge mostly successful — ‘Hiccups will not delay the Merge.’

0

Bitcoin derivatives data shows room for BTC price to move higher this week

January 23, 2023

Bitcoin price consolidation opens the door for APE, MANA, AAVE and FIL to move higher

January 22, 2023

Genesis bankruptcy case scheduled for first hearing

January 22, 2023

Terra lending protocol Mars to launch mainnet

January 22, 2023

XBT.Market

This website is an automated news feed powered by the Nebulome cloud system. The site is made possible by YYC TECH Consulting and Alberta Digital Mining Company. As a team with major crypto and bitcoin enthusiasm, we have curated major sources of news, trading and financial data to bring you, our viewer, an unbiased source of truth.

Recent Posts

  • Bitcoin derivatives data shows room for BTC price to move higher this week January 23, 2023
  • Bitcoin price consolidation opens the door for APE, MANA, AAVE and FIL to move higher January 22, 2023
  • Genesis bankruptcy case scheduled for first hearing January 22, 2023
  • Terra lending protocol Mars to launch mainnet January 22, 2023
  • Central African Republic eyes legal framework for crypto adoption January 22, 2023

News Categories

  • Bitcoin
  • Blockchain
  • Business
  • Market

Tags

bitcoinMagzine Cointelegraph Cryptocurrency insidebitcoins Investment Mining Bitcoin NewsBTC

Quicklinks

  • Home
  • Coins MarketCap
  • Crypto Exchanges
  • Crypto Calculator
  • Top Gainers and Loser
  • News
  • Contact Us

© 2022 Xbt.Market - Powered by YYC Tech Consulting & ADMCO.

No Result
View All Result
  • Home
  • Coins MarketCap
  • Crypto Exchanges
  • Crypto Calculator
  • Top Gainers and Loser
  • News
  • Contact Us

© 2022 Xbt.Market by Nebulome.

  • bitcoinBitcoin(BTC)$27,843.00-2.78%
  • ethereumEthereum(ETH)$1,793.27-0.48%
  • USDEXUSDEX(USDEX)$1.07-0.53%
  • tetherTether(USDT)$1.000.13%
  • binancecoinBNB(BNB)$316.03-0.32%
  • usd-coinUSD Coin(USDC)$1.000.08%
  • rippleXRP(XRP)$0.540.50%
  • cardanoCardano(ADA)$0.3828741.31%
  • Lido Staked EtherLido Staked Ether(STETH)$1,790.25-0.32%
  • dogecoinDogecoin(DOGE)$0.074530-0.79%
  • matic-networkPolygon(MATIC)$1.09-2.54%
  • SolanaSolana(SOL)$20.30-2.34%
  • Binance USDBinance USD(BUSD)$1.000.15%
  • polkadotPolkadot(DOT)$6.190.47%
  • litecoinLitecoin(LTC)$88.29-2.04%
  • Shiba InuShiba Inu(SHIB)$0.000011-0.63%
  • tronTRON(TRX)$0.0651841.12%
  • AvalancheAvalanche(AVAX)$17.280.39%
  • daiDai(DAI)$1.00-0.03%
  • UniswapUniswap(UNI)$5.960.91%
  • wrapped-bitcoinWrapped Bitcoin(WBTC)$27,870.00-2.63%
  • chainlinkChainlink(LINK)$7.431.23%
  • cosmosCosmos Hub(ATOM)$11.120.43%
  • leo-tokenLEO Token(LEO)$3.451.00%
  • ToncoinToncoin(TON)$2.09-0.52%
  • stellarStellar(XLM)$0.1091964.13%
  • moneroMonero(XMR)$157.17-1.67%
  • ethereum-classicEthereum Classic(ETC)$20.17-1.10%
  • Aerarium FiAerarium Fi(AERA)$7.14-13.09%
  • OKBOKB(OKB)$41.44-2.33%
  • bitcoin-cashBitcoin Cash(BCH)$121.49-1.13%
  • filecoinFilecoin(FIL)$5.50-2.41%
  • HederaHedera(HBAR)$0.0698008.13%
  • true-usdTrueUSD(TUSD)$1.000.17%
  • AptosAptos(APT)$11.380.89%
  • Lido DAOLido DAO(LDO)$2.32-2.18%
  • QuantQuant(QNT)$125.12-0.59%
  • ArbitrumArbitrum(ARB)$1.35-2.43%
  • CronosCronos(CRO)$0.067961-1.52%
  • NEAR ProtocolNEAR Protocol(NEAR)$1.91-2.03%
  • vechainVeChain(VET)$0.022722-1.44%
  • algorandAlgorand(ALGO)$0.219254-2.84%
  • Internet ComputerInternet Computer(ICP)$5.040.21%
  • ApeCoinApeCoin(APE)$4.08-0.04%
  • eosEOS(EOS)$1.171.94%
  • The GraphThe Graph(GRT)$0.141681-2.19%
  • FantomFantom(FTM)$0.451078-1.55%
  • StacksStacks(STX)$0.91-4.93%
  • The SandboxThe Sandbox(SAND)$0.61-2.46%
  • MultiversXMultiversX(EGLD)$42.03-3.38%
  • FraxFrax(FRAX)$1.00-0.08%
  • decentralandDecentraland(MANA)$0.57-2.97%
  • AaveAave(AAVE)$71.22-1.57%
  • tezosTezos(XTZ)$1.10-1.68%
  • ImmutableXImmutableX(IMX)$1.100.41%
  • theta-tokenTheta Network(THETA)$1.01-1.00%
  • FlowFlow(FLOW)$0.95-2.64%
  • EdgecoinEdgecoin(EDGT)$1.000.03%
  • Axie InfinityAxie Infinity(AXS)$8.15-2.39%
  • ConfluxConflux(CFX)$0.412866-1.49%
  • neoNEO(NEO)$12.13-4.32%
  • Rocket PoolRocket Pool(RPL)$43.12-3.86%
  • kucoin-sharesKuCoin(KCS)$8.26-2.05%
  • paxos-standardPax Dollar(USDP)$1.000.03%
  • havvenSynthetix Network(SNX)$2.40-2.68%
  • WhiteBIT TokenWhiteBIT Token(WBT)$5.23-2.03%
  • BitDAOBitDAO(BIT)$0.52-0.90%
  • Terra Luna ClassicTerra Luna Classic(LUNC)$0.000123-0.35%
  • USDDUSDD(USDD)$0.990.09%
  • OptimismOptimism(OP)$2.26-0.77%
  • GateGate(GT)$5.01-0.28%
  • Curve DAOCurve DAO(CRV)$0.91-2.54%
  • KlaytnKlaytn(KLAY)$0.227157-2.92%
  • bitcoin-cash-svBitcoin SV(BSV)$35.42-0.63%
  • PancakeSwapPancakeSwap(CAKE)$3.68-0.37%
  • Mina ProtocolMina Protocol(MINA)$0.74-2.51%
  • GMXGMX(GMX)$74.46-1.16%
  • dashDash(DASH)$56.11-2.10%
  • ChilizChiliz(CHZ)$0.116588-0.29%
  • CloutContractsCloutContracts(CCS)$52.461,000.00%
  • makerMaker(MKR)$670.20-1.18%
  • Frax ShareFrax Share(FXS)$8.41-5.08%
  • BitTorrentBitTorrent(BTT)$0.000001-0.31%
  • huobi-tokenHuobi(HT)$3.65-0.56%
  • eCasheCash(XEC)$0.000030-1.55%
  • iotaIOTA(MIOTA)$0.209085-1.16%
  • XDC NetworkXDC Network(XDC)$0.040506-1.72%
  • Bitget TokenBitget Token(BGB)$0.395719-1.30%
  • KaspaKaspa(KAS)$0.0301803.51%
  • cETHcETH(CETH)$36.12-0.20%
  • PAX GoldPAX Gold(PAXG)$1,985.690.38%
  • Tokenize XchangeTokenize Xchange(TKX)$6.26-0.13%
  • singularitynetSingularityNET(AGIX)$0.407294-3.29%
  • Tether GoldTether Gold(XAUT)$1,979.310.47%
  • Mask NetworkMask Network(MASK)$6.37-2.04%
  • cUSDCcUSDC(CUSDC)$0.0228250.08%
  • Trust WalletTrust Wallet(TWT)$1.16-4.63%
  • BinaryXBinaryX(BNX)$23.94-86.46%
  • 1inch1inch(1INCH)$0.550.22%
  • zilliqaZilliqa(ZIL)$0.027564-1.00%