Connect with us

Hi, what are you looking for?

Economy

Decentralized Protocol OpenLeverage Suffers Multiple Hacks, Losing $230K: Report

Permissionless lending and margin trading protocol OpenLeverage has reportedly fallen victim to multiple hacks draining $230K worth assets.

The hacks were flagged by blockchain security Cyvers Alerts on X (Twitter). Per the post, the losses incurred is around $230,000 worth crypto and the attacker’s wallet was funded by Tornado Cash.

“Our system has detected the malicious contract deployment 13 sec earlier than attack transactions,” the post read. “Stolen funds are still at attacker’s address.”

ALERTOur system has detected a multiple transactions with @OpenLeverage

Total loss is around $230K. Attacker has funded by @TornadoCash!
Our system has detected the malicious contract deployment 13 sec earlier than attack transactions!
Stolen funds are still at attacker’s… pic.twitter.com/xK6aN2tLbd

— Cyvers Alerts (@CyversAlerts) April 1, 2024

Tornado Cash is an OFAC-sanctioned crypto mixing protocol which is claimed to have been used by North Korea’s Lazarus Group to launder more than $100m stolen in crypto heists.

Shortly after the hack, OpenLeverage confirmed that it has paused its operations and investigations are underway.

“Accumulated insurance and buyback funds should be able to cover the loss,” it said.

OpenLeverage protocol is paused; the investigation is underway. Accumulated insurance and buyback funds should be able to cover the loss.

D1 is NOT affected.

More details to be shared soon. https://t.co/4DaS6Y5gQC

— OpenLeverage (@OpenLeverage) April 1, 2024

Further, the update from the company confirmed “a loss of 220K on BNB Chain & 40K on Arbitrum.”

“Thankfully, our in-protocol insurance, OLE buyback fund, and protocol reserves will cover all protocol losses. So, NO user funds will be lost.”

Following the hacks, OpenLeverage has decided to close its trading and lending protocol, initiating processes for users to withdraw funds.

“All protocol actions remain paused until withdrawal processes start about early next week,” a recent post read.

Additionally, the protocol has also announced a bounty to the hacker on return of stolen funds. However, the exact reward hasn’t been specified.

“The hacker will receive a bounty to return funds, and the trace and legal process will start immediately.”

The hacker will receive a bounty to return funds, and the trace and legal process will start immediately.

— OpenLeverage (@OpenLeverage) April 1, 2024

OpenLeverage secured investment from Binance Labs in June 2022, though the precise amount of funding were undisclosed.

The post Decentralized Protocol OpenLeverage Suffers Multiple Hacks, Losing $230K: Report appeared first on Cryptonews.

Your information is secure and your privacy is protected. By opting in you agree to receive emails from us. Remember that you can opt-out any time, we hate spam too!

Latest

Economy

A recent report from SoSoValue shows significant movements in the Bitcoin exchange-traded funds (ETFs) market, mainly focusing on the outflows observed in Grayscale’s Bitcoin Trust (GBTC)...

Economy

Clearstream, Deutsche Börse’s post-trade business is investing an undisclosed amount in the fintech start-up Digital Vault Services (DVS). Deutsche Börse, one of Europe’s biggest...

Economy

According to a CoinDesk report, OKX, the world’s second-largest cryptocurrency exchange by trading volume, has lost two of its top executives, Tim Byun and...

News

The foreign aid plan Speaker Johnson, R-La., unveiled on Monday night is already facing a growing red wave of opposition from his own colleagues...

News

Russian President Vladimir Putin joined international calls for cool heads in the Middle East as tensions remain high following Iran’s unprecedented attack on Israel...

News

A nonprofit founded and funded by liberal billionaire George Soros funneled a massive eight-figure sum into a prominent liberal super PAC that bankrolls several...

You May Also Like

Financial Advisors

[#item_full_content]

Financial Advisors

[#item_full_content]

Financial Advisors

The humongous outbreak of the dreaded coronavirus has brought about a groundbreaking change in what the world perceived as ‘normal’. With an estimated 280,391,189...

Disclaimer: Respect Investment.com, its managers, its employees, and assigns (collectively "The Company") do not make any guarantee or warranty about what is advertised above. Information provided by this website is for research purposes only and should not be considered as personalized financial advice. The Company is not affiliated with, nor does it receive compensation from, any specific security. The Company is not registered or licensed by any governing body in any jurisdiction to give investing advice or provide investment recommendation. Any investments recommended here should be taken into consideration only after consulting with your investment advisor and after reviewing the prospectus or financial statements of the company.

Copyright © 2024 Respect Investment. All Rights Reserved.