There have been multiple cyber attacks in the crypto sector over the last two years. Companies face a huge loss of crypto assets due to cyber attacks.
On Feb 2, BonqDAO, a Decentralized Autonomous Organization (DAO), tweeted that “the Bonq protocol was exposed to an oracle hack,” where the exploiter increased the price of ALBT and minted huge amounts of BEUR. The firm said the Bonq protocol had been paused on the platform following the hack.
The attackers nearly minted 120 million BEUR tokens during the Oracle hack. “The BEUR was swapped for other tokens on Uniswap. Then, the price was decreased to almost zero, which triggered the liquidation of ALBT troves,” BonqDAO said
After resolving the issue, users will be allowed to withdraw the remaining collateral without repairing BEUR in the troves. According to Bonq, most transactions take place on the Polygon platform.
Peckshield, a blockchain security firm estimated a $120 million loss in the hack, comprising $11 million in wrapped-ALBT (wALBT) and $108 million in BEUR tokens.
The ALBT token issuer AllianceBlock announced on Feb 2 that hackers manipulated nearly $5 million worth of ALBT tokens on Bonq. AllianceBlock said that none of its smart contracts was breached during the hack.
AllianceBlock said that Bonq teams and connected partners would mint new ALBT tokens and airdrop to the victims. Those who traded after these tokens after the announcement will not receive the airdrops.
Crypto investors advised to revoke smart contract approvals
Over the past two years, the crypto community experienced hundreds of crypto attacks and exploits. The crypto community advises investors and users to check “smart contract approvals and revoke access regularly.”
Scammers hacked nearly $14 billion worth of assets in 2021. According to CNBC, losses from crypto-related attacks rose to 79% in 2020. Most of the stolen funds were from DeFi protocols. The top 10 largest cryptocurrency exploits of 2022 recorded $2.1 billion in losses.
Source: https://www.thecoinrepublic.com/2023/02/04/bongdao-suffers-oracle-hack-loses-120-million/