Terra Blockchain Reboots Post $4M Exploit

sevval31/07/20241 Mins read368

Terra Blockchain Reboots Post $4M Exploit

Terra Blockchain Reboots After $4M Exploit Incident

Terra Blockchain Reboots– On Wednesday, Terra developers temporarily halted network operations due to a reentrancy attack that resulted in over $4 million worth of various tokens being withdrawn from the blockchain. The blockchain paused at block height 11430400 for an emergency patch to address the vulnerability, completed at 04:19 UTC. Validators, representing over 67% of the network’s voting power, promptly upgraded their nodes to prevent future exploits. According to security firm Beosin, the attack saw $3.5 million in USDC, $500,000 in USDT, 2.7 BTC, and over 60 million ASTRO tokens stolen. Beosin noted that the exploit leveraged a reentrancy flaw in the timeout callback of ibc-hooks, a vulnerability disclosed earlier in April.

Table of Contents

Terra blockchain was exploited for ~60M $ASTRO, 3.5M $USDC, 500k $USDT, and 2.7 $BTC.

The attacker exploited a reentrancy vulnerability in the timeout callback of ibc-hooks. The vulnerability was disclosed in April this year:https://t.co/CY39X28KyE https://t.co/hY9xA40hbJ
— Beosin Alert (@BeosinAlert) July 31, 2024

According to CoinGecko data, ASTRO dropped by 56% following the attack. Meanwhile, Terra’s luna classic (LUNC) tokens have seen a 3.4% decline in the last 24 hours.

Reentrancy is a prevalent bug that enables attackers to deceive a smart contract by executing repeated calls to a protocol, facilitating asset theft. Each call grants the smart contract address authorization to interact with a user’s wallet address.

FAQs

What happened to the Terra Blockchain recently?

Terra Blockchain experienced a security incident involving a $4 million exploit, leading to a temporary halt in network operations.

Why did Terra Blockchain pause its operations?

The blockchain paused to address a reentrancy attack, a vulnerability that allowed over $4 million worth of various tokens to be taken from the network.

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sevval

Şevval has been actively writing since 2022 and is a third-year mathematics student at Ankara University. Her interest in writing is shaped particularly around innovative technologies such as Web3, artificial intelligence, and blockchain. She closely follows developments in these fields and aims to convey complex topics to readers in a clear and engaging manner. She enjoys combining her mathematical knowledge with technology to create content and strives to raise awareness about the digital world of the future.