Dough Finance suffers from the flash loan attack

An attacker stole about $1.8 million from Dow Financial.
This attack has raised some security issues on the platform.
Not all Dough Finance users are affected.

Shockingly, the flash loan attack hit some Dow Financial users hard, robbing them of thousands of dollars. On June 12, 2024, Syvers, a security company that provides real-time detection and prevention of crypto attacks, detected suspicious activity on the protocol.

After the company noticed the unusual activity, it contacted lending protocol Aave to find out if the hacker had any influence there.

While Aave confirmed that the pools were intact and untouched, Dow Finance, the liquidity protocol on the Ethereum network, suffered the brunt of the attack.

Not all Dole Finance users are affected; They were the only ones with money tied to the affected smart contract. Despite the loss already taken.many Dow Finance users are still worried about the security of their funds and the use of the decentralized finance (DeFi) protocol.

A a bit A vulnerability in Dow Finance's “ConnectorDeleverageParaswap” smart contract gave the hacker the leverage he needed. Flash loans were able to distort the contract by not being able to verify the information received at the time of the call. Basically, the contract failed to the Exactly Confirmation Or reference The information.

The theft happened because the attacker exchanged the existing Ether (ETH) with stolen USDC, which had a much lower value. This scam allowed the hacker to take approximately $1.8 million worth of ETH.

The attacker launched several attacks on the platform, causing heavy losses. Losses after the second attack were over $140,000. Dow Financial Group is currently investigating the cause of the attack and the extent of the damage. do To strengthen the security of the platform.

Some security experts have advised Dow Finance users to consider transferring their funds to other platforms or wallets until the group has verified the platform's security. Users are advised not to interact with Dough Finance's Smart Now contracts to ensure the protection of their property.