Michael Egorov, the founder of Curve, is currently mortgaging 292 million CRV ($181 million) and lending $110 million in peril after experiencing a devastating attack yesterday, according to data provided by crypto researcher 0xLoki.
Price Volatility in CRV Crypto: DeFi Exchange Curve Finance Confirms Hack Allegations
Crypto researcher 0xLoki shared a series of tweets about the situation.
Following the discovery of a serious flaw in older versions of the Vyper programming language that allowed for the theft of millions of dollars worth of valuable cryptocurrencies on July 30, decentralized finance (DeFi) protocols are undertaking a stress test. The incident had a detrimental impact on CRV’s price as well; at the time of writing, it was down more than 12.56% to $0.64. Aave’s protocol may be impacted by dropping token prices, which could compel Curve founder Michael Egorov to liquidate sizable loans, according to community members.
Curve Finance Confirms Attack
The alETH/msETH/pETH stablecoin pool was compromised because of a serious Vyper recursive flaw, according to a report by Curve Finance on July 30. Early this morning, the attack was still going strong.
The security agency’s monitoring indicates that the Curve Finance attack may have caused up to $70 million in damage, of which $16.9 million has been reimbursed, leaving $52.4 million still vulnerable to loss. According to Debank statistics, the 16 million tokens were placed into Aave V2 by the Curve founder’s address more than six hours ago, maybe in an effort to increase his loan health factor.
Vyper Also Made a Statement
Initial estimates indicate that the site was abused on Sunday for more than $24 million. However, as the hack develops in real-time, blockchain security company PeckShield has increased the stolen amount to $52 million.
Three liquidity pools for tokens paired with Ethereum (ETH) and the Curve governance token CRV, as well as various ERC-20 tokens produced on Alchemix (alETH), Metronome Synth (smETH), and JPEG’d (pETH), were all compromised as a result of a bug in earlier versions of the Vyper compiler, according to the decentralized exchange’s staff.
The Ethereum blockchain can be used to create smart contracts using the programming language Vyper. This morning, the main developers of the programming language stated that some previous versions of the Vyper programming language were open to abuse.
About CRV Crypto
The utility token of the Curve.fi DeFi protocol for trading stablecoins and other ERC-20 tokens is called Curve DAO (CRV). Connecting users that want to swap ERC-20 tokens and stablecoins with exchange protocols is Curve’s primary objective. Users of Curve’s financial platform are in charge of their tokens because it is a non-custodial platform.
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