Decentralized finance (DeFi) platform Arcadia Finance may become the latest victim of an attack, with leading blockchain security firm PeckShield detecting fraudulent transactions on Ethereum and Optimism and losing approximately $455,000.
PeckShield adds that hack analysis shows that the loss is “Due to the lack of validation of unreliable inputs. It was used to steal money from both darcWETH and darcUSDC vaults.”
It also “lacks reentrancy protection, which allows instant liquidation to bypass internal vault integrity checks,” the company added.
Arcadia’s new report confirms that the function The app’s “liquidateVault()” does not check for reentrancy protection and this allows attackers to use it to attack. And the team has now paused and is working on patches to close the vulnerability.
Arcadia team alsopostmessage to attacker Using the Optimism Transaction field, it says:
“We understand that you have been involved in Arcadia Finance vulnerabilities. We are actively working with security experts and law enforcement. It’s hard to hide your identity online these days. And we will escalate this matter with law enforcement in the event that no refunds are made within the next 24 hours.”
Arcadia also claims to have found an opportunity to track down the attacker. “In addition to finding a wallet address linked to a centralized exchange, We also found links to previous attacks on other protocols,” the report states. “The team is fully investigating both on-chain and off-chain data.”
The post Arcadia Finance was hacked for 15.9 million baht, the team told the attacker to refund within 24 hours appeared first on Bitcoin Addict.