Among the most important concerns surrounding the development of DeFi projects is the security concern, which is the cornerstone for increasing adoption and gaining user confidence in this emerging sector.
In the past months, we have seen many ugly exploitation of decentralized financing projects, especially the new ones, but what we will review in this news is the exploitation of a project that is somewhat old in the arena and one of the projects that contributed to the revolution of decentralized financing.
The “Yearn Finance” Decentralized Finance Project offers to exploit the impact on the “DAI” lending group.
According to the official account of the project on Twitter, which tweeted a tweet posted around 10:00 pm UTC, stating:
We noticed that the “v1 yDAI” wallet has suffered from exploitation, this exploitation has been mitigated.
All of what happened is being followed up.
The developer named “banteg” followed on Twitter what happened, and provided some additional details, which stating the following:
The “Yearn DAI v1” wallet was exploited and the attacker took advantage of the vulnerability and fled with $ 2.8 million, and the wallet lost about $ 11 million.
Deposits are disabled in the protocols for “v1 DAI” based on the following stablecoins:
TUSD, USDC and USDT while we investigate.
“Aave” founder and CEO, Stanny Kulichov, pointed out that the exploitation involved 160 overlapping deals.
The price of the YFI digital currency is affected:
The trading price of the digital currency YFI, which is the digital currency for the governance of the “Yearn Finance” project, decreased significantly and was affected by the news of the breach.
The currency fell from $ 34,700 to $ 30,500 in minutes, although it has since rebounded slightly to $ 31,700.
The “Yearn” project collects decentralized finance lending protocols such as “Aave” and “Compound” to ensure that users get the best return on their loan.
The project is one of the prominent names in the DeFi space.