BlockTower Capital Lost $1.5 Million: Blockchain Data

Earlier on Friday, Dexible, an automated trading platform in decentralized finance (DeFi), was the victim of a $2 million exploit, according to a report by the team uploaded on the official Discord server. The team said a few “big whales” were exploited and accounted for 85% of the losses.

Update: 17 traders were affected total, 4 on Mainnet, 13 on Arbitrum.
Out of 36 on Arbitrum, only 13 were exploited.
Out of 14 unique on Ethereum, 4 were exploited.
A few big whales were exploited accounted for ~85%
— Dexible (@DexibleApp) February 17, 2023

On Feb 17, Dexible tweeted, “A hacker exploits a vulnerability in our newest smart contract. This allowed the hacker to steal funds from any wallet that had an unspent spend approval on the contract,” Dexible tweeted. Currently, all operations on the platform have been paused, as per the tweet.

We are taking this very seriously, and our team immediately paused all Dexible contracts on all chains upon detecting the issue. Our users were affected, but the exploit is over.
2/5
— Dexible (@DexibleApp) February 17, 2023

As per Blockchain data BlockTower Capital, an investment firm, has lost $1.55 million of TrueFi in a recent exploit. The chief executive of Dexible, Michael Coon said on Discord that “We have paused these contracts, while we get a full picture of the situation.”

The Platypus Finance, a decentralized finance (DeFi) application, was affected by flash loans on Feb 16, as per CertiK tweets, a smart contract security firm. As per the tweet, the hacker used flash loans resulting in $8.5 million worth of assets loss. Currently, all operations on the platform have been paused.

Earlier Friday, the Platypus community confirmed that the attacker targeted a loophole in the USP solvency verification process. “They used a flash loan to exploit a logic error in the USP solvency check mechanism in the contract holding the collateral,” Platypus tweeted. On Friday Platypus community assured the users that they were trying to contact the hacker to arrange a bounty in exchange for the return of exploited funds.

Dear Community,
We regret to inform you that our protocol was hacked recently, and the attacker took advantage of a flaw in our USP solvency check mechanism. They used a flashloan to exploit a logic error in the USP solvency check mechanism in the contract holding the collateral.
— Platypus 🔺 (🦆+🦦+🦫) (@Platypusdefi) February 17, 2023

A flash loan is an uncollateralized loan where digital assets are repaid the borrowed amount in a single transaction. In recent months, other DeFi platforms have been targeted by flash loans, including Deus DAO in April, Nirvana Finance in July, New Free DAO in September and Mango Markets in October.

Disclaimer

The views and opinions stated by the author, or any people named in this article, are for informational purposes only and do not establish financial, investment, or other devices. Investing in or trading crypto assets comes with a risk of financial loss.

Andrew is a blockchain developer who developed his interest in cryptocurrencies while his post-graduation. He is a keen observer of details and shares his passion for writing along with being a developer. His backend knowledge about blockchain helps him give a unique perspective to his writing