Share this text
The DEUS group mentioned that person funds have been secure.
DEUS Finance Suffers Flash Mortgage Exploit
DEUS Finance DAO is the most recent DeFi protocol to undergo a significant assault.
The multi-chain DeFi challenge, which runs on Ethereum, Fantom, BNB Chain, and numerous different Layer 1 networks, was focused in a flash mortgage exploit early Thursday morning.
On-chain data exhibits that an attacker leveraged a flash mortgage to focus on a DEUS liquidity pool on Fantom. Pioneered by the early Ethereum DeFi challenge Aave, flash loans give DeFi customers the power to borrow a vast quantity of capital with out offering any collateral so long as they pay again the mortgage in the identical transaction. Whereas flash loans are an instance of DeFi innovation, they’ve been controversial as a result of distinguished function they’ve performed in lots of multi-million greenback hacks.
This assault follows an analogous playbook to many different latest incidents. As blockchain safety agency PeckShield famous in a tweet storm, the hacker used the mortgage to control a value oracle in order that they may artificially inflate the value of DEUS’ DEI stablecoin. They then used the DEI as collateral to borrow extra capital, and executed a commerce for USDC. By the point they paid off the flash mortgage, they have been left with about $13.4 million.
After executing the flash mortgage assault, the hacker moved the takings from Fantom to Ethereum and used Twister Money, an Ethereum-based privacy-preserving protocol popularly utilized in DeFi hacks, to siphon the funds to a “clear” deal with.
DEUS has since posted an update, saying that person funds are secure and DEI lending has been paused. It additionally mentioned it can comply with up with extra particulars later. After affected by a $3 million flash mortgage exploit solely final month, it can have some explaining to do.
Disclosure: On the time of writing, the creator of this piece owned ETH, AAVE, FTM, and several other different cryptocurrencies.