Platypus DeFi loses $2.2M in another flash loan exploit

Decentralized finance (DeFi) protocol Platypus has misplaced over $2 million in belongings after struggling one other flash mortgage exploit on its platform. The protocol suspended all of its swimming pools in response to the assault. 

In accordance with the blockchain safety platform CertiK, the DeFi platform suffered three assaults, with $2.23 million taken in whole throughout the exploits. On Oct. 12, the primary assault happened, taking $1.2 million from the platform. A second assault occurred hours later, stealing $575,000 value of belongings from the platform. Only a minute later, the third assault had taken place, with $450,000 in belongings misplaced.

Resulting from suspicious actions in our protocol, now we have taken the proactive measure of quickly suspending all swimming pools.
Additional updates will likely be communicated to the group in a well timed method.
Thanks on your persistence and understanding throughout this time.

— Platypus (++) (@Platypusdefi) October 12, 2023

Platypus is an automatic market maker (AMM) protocol that enables digital belongings to be traded mechanically through the use of liquidity swimming pools as a substitute of the extra conventional markets the place there are consumers and sellers. The platform raised $3.Three million again in 2021 in a funding spherical led by the now-bankrupt Three Arrows Capital. 

The DeFi platform suffered losses due to a flash mortgage exploit. In the sort of assault, merchants would exploit a vulnerability that will enable them to instantaneously borrow crypto with out offering the mandatory collateral for the transaction.

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CertiK famous that the current flash mortgage assault is the third assault on Platypus in 2023. On Feb. 16, the protocol misplaced $8.5 million in the same exploit, which additionally led to the de-pegging of the Platypus USD stablecoin, driving its worth from $1 to $0.48. In accordance with CertiK, the protocol additionally misplaced round $157,000 in a flash mortgage exploit again in July.

In March, the DeFi protocol created a compensation portal for victims who misplaced their belongings within the February assault. The portal was used in order that customers might confirm how a lot compensation they might get from the platform and permit them to lift their issues earlier than the funds have been distributed.

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