Curve DAO Tokens Worth Millions Taken Before White Hat Rescue Effort
According to blockchain data and Curve contributor Banteg, millions of Curve DAO (CRV) tokens were taken minutes before a white hat rescue effort to protect the funds.
“Crv/eth pool drained minutes before a white hack operation,” wrote Banteg on Twitter.
According to recent analyses, the hack resulted in the theft of 7 million CRV and $14 million worth of wrapped ether (WETH). The tokens were taken from the CRV/ETH pool on Curve Finance.
Security expert BlockSec said Binance, a cryptocurrency exchange, funded the attack’s wallet.
Decentralised exchange (DEX) Curve Finance is designed for effective stablecoin trading. It provides a variety of pools for exchanging tokens for other tokens, particularly stablecoins.
Due to a problem in earlier versions of the Vyper programming language, Curve presently has a vulnerability that impacts many pools. Before this hack, tokens worth $26 million were transferred from other Curve manufacturing pools.
This affected projects like JPEGd, Metronome, and Alchemix. According to BlockSec, the total asset outflows associated with this security problem on Curve pools have already exceeded $41 million.
According to a statement in the Curve Discord, all impacted pools have been exploited or saved by a white hat hacker, and all other collections are secure.
Curve DAO (CRV) Pricing Decrease
CRV has dropped in price twice today. It declined from $0.73 to $0.70 due to previous fund moves, then back to $0.64 due to the most recent heist.
On the DeFi lending platform Aave, a wallet associated with Curve Finance founder Michael Egorov holds a sizable loan position backed by a sizable amount of Curve DAO tokens.
On-chain data reveals that $60 million is being loaned in stablecoins supported by $180 million in Curve DAO (CRV). If CRV prices drop much more to about $0.40, this trade may be liquidated.
The wallet owner has taken steps today to reduce the likelihood of liquidation and has, in the past, modified the loan and its collateral when it was at risk of being liquidated.
Additional exploit details and information about the loan position have been added to the article.
