Prisma Finance benefited from the breach of 10 million dollars

Decentralized financial (DeFi) protocol Prisma Finance was exploited on March 28 for around $10 million worth of cryptocurrencies.

On-chain security alert provider Syvers was the first to notice the anomalies, according to the March 28 X-Post:

“Our system has detected several suspicious transactions by @PrismaFi and it's still ongoing! Total losses are around $9M so far. The attacker is supported by @FixedFloat! Our system detected the malicious contract 2 minutes before the hacked transactions!”

Shortly after the first alert, Syvers discovered another $1 million in fraudulent transactions, bringing the total amount of money embezzled to $10 million.

Prisma Finance said its chief engineers and contributors would pause and investigate the protocol, according to a March 28 X post.

Prisma is a decentralized liquid staking token protocol that has more than $222 million in total value locked (TVL) on DeFilm.

Related: Hacked funds in 2024 up 15.4% over same period in 2023 – Immunefi

The stolen funds exceeded 11.6 million dollars

Following the first exploit, the attacker began converting the stolen funds into Ether, Syvers explained.

According to chain security firm PeckShield, the attack is still ongoing, in a March 28 X post at 12:28 pm UTC:

“The attack continues, the total loss has now reached ~3,257.7 $ETH (~$11.6 million worth). To catch owners, please follow notifications from the official source and beware of scams.”

As seen in the PeckShield image above, other scammers are trying to take advantage of the exploit. Under the official Prisma Finance advertisement, a fraudulent Prisma Finance account with a gold badge is trying to redirect users to a suspicious link. On closer inspection, it can be seen that the fraudulent account has nothing to do with Prisma Finance.

Crypto hacks continue to erode the legitimacy of the industry. More than $200 million worth of crypto was lost in 2024 through hacking and remote withdrawals in 32 separate incidents through February 29.

The loss of more than $200 million represents a 15.4 percent increase compared to January and February 2023, when $173 million of digital assets were stolen.

In the year According to a December 28 report by Immunefi, $1.8 billion will be lost to crypto hackers and fraudsters in 2023, of which 17% can be attributed to the North Korean Lazar group.

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