ADVERTISEMENT

[email protected]

  • Submit Press Release
  • Submit Guest Post
  • Write for Kryptomoney.com
Latest Crypto News
Buy Crypto Now
  • News
    • Bitcoin News
    • Blockchain News
    • Cryptocurrency News
    • Ethereum News
    • Exchanges News
    • Regulations News
  • Price Analysis
    • Bitcoin (BTC) Analysis
    • Ether (ETH) Analysis
    • Ripple (XRP) Analysis
    • Litecoin (LTC) Analysis
    • Bitcoin Cash (BCH) Analysis
    • Binance Coin (BNB) Analysis
  • Industry
  • Start Here
  • Advertise
No Result
View All Result
  • News
    • Bitcoin News
    • Blockchain News
    • Cryptocurrency News
    • Ethereum News
    • Exchanges News
    • Regulations News
  • Price Analysis
    • Bitcoin (BTC) Analysis
    • Ether (ETH) Analysis
    • Ripple (XRP) Analysis
    • Litecoin (LTC) Analysis
    • Bitcoin Cash (BCH) Analysis
    • Binance Coin (BNB) Analysis
  • Industry
  • Start Here
  • Advertise
No Result
View All Result
Latest Crypto News
No Result
View All Result
Home News

DeFi Ecosystem Hack: Litecoin Founder Points to Loopholes After Smart Contracts Fund Theft

DeFi Alludes to an Expanding Network of Decentralized Financial Apps

Tomiwabold Olajide by Tomiwabold Olajide
February 18, 2020
in News
0
DeFi
0
SHARES
91
VIEWS
Share on FacebookShare on Twitter

Earlier this week, the crypto space was taken aback in the news wake of an exploitation of Decentralized Finance (DeFi) project, bZx in which a hacker took advantage of multiple DeFi protocols to swipe $350,000 (not officially stated) from its lending and trading platform Fulcrum, which accounts for close to 2% of the assets under its control. Fulcrum is a non-custodial platform for tokenized margin lending and trading which permits its users to lend assets for interest or enter into short/leveraged positions.

Consequently, the company stalled its lending and trading protocol Fulcrum. Coincidentally, bZx was making a presentation at ETHDenver when the exploitation happened. The cyberpunks leveraged on the bZx’s pricing oracle as it only uses a single one, to spoof the protocol into surrendering the said funds.

The firm, whose booth remains empty at ETHDenver, later asserted in its recent tweet that it will recompense lenders for losses incurred.

The attack which brought to light the vulnerability of the DeFi Ecosystem is even more significant because of its timing as the bZx team had to manage the attack during the Ethereum community’s ETHDenver hackathon, a DeFi centered event.

Consequently, Litecoin founder, Charlie Lee has criticized the DeFi ecosystem concerning vulnerability, referring it as being centralized. Ethereum has the fastest-growing DeFi ecosystem in which Lee posed the question of DeFi being decentralized if someone can bring it down.

‘‘Decentralization Theatres’’
Charlie Lee is quoted to have referred the DeFi ecosystem as “Decentralization theatres”, further referring it as “the worst of two worlds.”

DeFi alludes to an expanding network of decentralized financial apps. These render a broad spectrum of services like those seen in traditional markets. They are likewise created on public Blockchain networks.

In the past, smart contracts have been a target for cyberpunks due to their financial nature and most times amazingly complex blocks of programming.

Ethereum likewise has not been left out of the exploitation hacks since its inception. In 2016, $50 million in funds were swiped during the DAO incidence.

This led to a hard fork to compensate its investors which consequently led to the invention of Ethereum Classic (ETC) cryptocurrency.

Image Credit: Shutterstock

Tags: bZxCharlie LeeCryptocurrency HackDecentralized FinanceethereumFulcrumlitecoin
Previous Post

LTC Price Analysis: Litecoin Bulls Lose Momentum, Falters Along Near Term Support at $72.15 Level

Next Post

Central Bank of Russia Proposes New Crypto Guidance

Next Post
Central Bank of Russia Proposes New Crypto Guidance

Central Bank of Russia Proposes New Crypto Guidance

Recent Stories

As NFTs Frenzy Catches On, Here Is Why NFTs Related Tokens, Audius (AUDIO), NFTX, FLOW Are Rallying

As NFTs Frenzy Catches On, Here Is Why NFTs Related Tokens, Audius (AUDIO), NFTX, FLOW Are Rallying

March 6, 2021
Altcoins Blow HOT! Uniswap Enters Top 10, Crypto Market Recovers As Senate Passes $1.9 Trillion Relief

Altcoins Blow HOT! Uniswap Enters Top 10, Crypto Market Recovers As Senate Passes $1.9 Trillion Relief

March 6, 2021
XRP Price Analysis: Bulls Await Fresh Rally on XRP/USD Beyond $0.5, Ripple Gains Legal Victory in Tetragon Lawsuit

XRP Price Analysis: Bulls Await Fresh Rally on XRP/USD Beyond $0.5, Ripple Gains Legal Victory in Tetragon Lawsuit

March 6, 2021
What’s Next for Bitcoin and Ethereum Price Amid Market Uncertainty? THETA, Terra Attain New All-Time Highs

What’s Next for Bitcoin and Ethereum Price Amid Market Uncertainty? THETA, Terra Attain New All-Time Highs

March 5, 2021
IOTA Price Analysis: Steady Climb on IOTA/USD to $1.50 Ahead of Coordicide Rollout, Bitfinex Adds IOTA As Collateral

IOTA Price Analysis: Steady Climb on IOTA/USD to $1.50 Ahead of Coordicide Rollout, Bitfinex Adds IOTA As Collateral

March 5, 2021
ETH Price Analysis: Upside Run Resumes As ETH/USD Fixate on $2K, Bolstered By On-Chain Metrics

ETH Price Analysis: Upside Run Resumes As ETH/USD Fixate on $2K, Bolstered By On-Chain Metrics

March 4, 2021
Venture Capital Investor Tim Draper Says Netflix May Be Next Fortune 100 Company To Purchase Bitcoin

Venture Capital Investor Tim Draper Says Netflix May Be Next Fortune 100 Company To Purchase Bitcoin

March 3, 2021
BlackRock

Citigroup Says Bitcoin Could Be At The Verge Of a “Massive Transformation Of Cryptocurrency Into The Mainstream.”

March 3, 2021
Bitcoin Retests $52K, On-Chain Data Indicates Long Term BTC Holders Were Not Fazed by the Recent Correction

Bitcoin Retests $52K, On-Chain Data Indicates Long Term BTC Holders Were Not Fazed by the Recent Correction

March 3, 2021
BTC Price Analysis: Buyers Weigh Up BTC/USD Price Beyond $52,000 As Stimulus Bill Sparks USD Bears

BTC Price Analysis: Buyers Weigh Up BTC/USD Price Beyond $52,000 As Stimulus Bill Sparks USD Bears

March 3, 2021

Email Subscription

Pages

About Us

Contact Us

Disclaimer

Get Latest Cryptocurrency And Bitcoin News

Privacy Policy

Write for Kryptomoney.com

Category

Events

General

Interviews

News

Price Analysis

Press Release

Sponsored

Information

About Us

Submit Press Release

Submit Guest Post

Contact Us

Social Icons

[email protected]

©KryptoMoney 2019 | Southridge Internet Corp

No Result
View All Result
  • Resource List
  • News
  • Price Analysis
  • Events
  • Press Release
  • Sponsored

©KryptoMoney 2019 | Ess Commerce Private Limited

Keep in mind that we may receive commissions when you click our links and make purchases. However, this does not impact our reviews and comparisons. We try our best to keep things fair and balanced, in order to help you make the best choice for you.