On the 26th of October, a hacker stole $24 million from anonymous decentralized finance (DeFi) Harvest Finance within seven minutes. However, the scammer later returned $2.5 million.
In a tweet, Harvest Finance explained the origin of the hack:
“Like other arbitrage economic attacks, this one originated with a large flashloan, and manipulated prices on one money lego (curve y pool) to drain another money lego (fUSDT, fUSDC), many times. The attacker then converted the funds to renBTC and exited to BTC.”
In reaction to the hack, Harvest’s native token FARM dropped 54% to $101.79. According to CoinGecko, FARM is currently trading at $113.53, a 50.5% decline over its previous close.
Several investors reacted to the hack by withdrawing their deposits from the protocol. The amount of money locked in the DeFi protocol fell from $1 billion to $575 million.
Bitcoin.com reported that “fretful investors” withdrew their funds from Harvest Finance.
Following the hack, Harvest has listed 10 Bitcoin addresses believed to be holding the stolen funds. The DeFi protocol also urged Binance, Huobi, and Coinbase to block the scammer’s addresses.
As an effort to nail the attacker, Harvest Finance had declared a “$100,000 bounty for the first person or team to reach out to the attacker.”
Image Credits: Pixabay
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