In short: Jimbos Protocol, a liquidity platform, was exploited on May 28th, resulting in a loss of around 4,000 ETH, worth $7.5 million. The hack was due to the lack of slippage control of liquidity-shifting operation, according to an update by PeckShield. The team has already addressed the issue and is investigating and attempting to contact the exploiter.
Our quick analysis:
The DeFi industry appears to be having a rough time lately, with yet another hack hitting the headlines. This time, the victim was liquidity platform Jimbos Protocol, which lost a whopping 4,000 ETH worth $7.5 million. Ouch.
According to PeckShield, the hack was a result of a lack of slippage control of liquidity-shifting operation. In other words, the protocol-owned liquidity was invested into a skewed/imbalanced price range, which was exploited in reverse swap for profit. It's safe to say that Jimbos Protocol failed to stay ahead of the curve when it comes to security and got burned in the process.
While the team is currently investigating the issue and trying to reach out to the exploiter, it's clear that more needs to be done to safeguard against such attacks. It's another reminder that the DeFi industry still has a long way to go before it can claim to be truly secure. After all, another day, another hack.
Stay safe out there, folks - it's a jungle in the DeFi world.
The post 4,000 ETH ($7.5M) Compromised Following Latest DeFi Exploit appeared first on CryptoPotato.
Image provided by Unsplash
Disclaimer: Our articles are NOT financial advice, and we are not financial advisors. Your investments are your own responsibility. Please do your own research and seek advice from a licensed financial advisor beforehand if needed.
Our quick analysis:
The DeFi industry appears to be having a rough time lately, with yet another hack hitting the headlines. This time, the victim was liquidity platform Jimbos Protocol, which lost a whopping 4,000 ETH worth $7.5 million. Ouch.
According to PeckShield, the hack was a result of a lack of slippage control of liquidity-shifting operation. In other words, the protocol-owned liquidity was invested into a skewed/imbalanced price range, which was exploited in reverse swap for profit. It's safe to say that Jimbos Protocol failed to stay ahead of the curve when it comes to security and got burned in the process.
While the team is currently investigating the issue and trying to reach out to the exploiter, it's clear that more needs to be done to safeguard against such attacks. It's another reminder that the DeFi industry still has a long way to go before it can claim to be truly secure. After all, another day, another hack.
Stay safe out there, folks - it's a jungle in the DeFi world.
The post 4,000 ETH ($7.5M) Compromised Following Latest DeFi Exploit appeared first on CryptoPotato.
Image provided by Unsplash
Disclaimer: Our articles are NOT financial advice, and we are not financial advisors. Your investments are your own responsibility. Please do your own research and seek advice from a licensed financial advisor beforehand if needed.
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Please, behave!