{"id":69942,"date":"2022-11-11T16:22:29","date_gmt":"2022-11-11T14:22:29","guid":{"rendered":"https:\/\/forklog.com\/en\/?p=69942"},"modified":"2025-09-07T23:00:59","modified_gmt":"2025-09-07T20:00:59","slug":"defi-project-dfx-finance-hacked-for-7-5-million","status":"publish","type":"post","link":"https:\/\/u1f987.com\/en\/defi-project-dfx-finance-hacked-for-7-5-million\/","title":{"rendered":"DeFi project DFX Finance hacked for $7.5 million"},"content":{"rendered":"<p>The Ethereum-based, stablecoin-focused decentralized exchange DFX Finance lost assets worth about $7.5 million in an attack.<\/p>\n<blockquote class=\"twitter-tweet\" data-lang=\"en\">\n<p lang=\"en\" dir=\"ltr\">It seems <a href=\"https:\/\/twitter.com\/DFXFinance?ref_src=twsrc%5Etfw\">@DFXFinance<\/a>&#8216;s DEX pool (named Curve) is hacked (w\/ loss of 3000 ETH or $~4M) due to the lack of proper reentrancy protection. Here comes an example tx: <a href=\"https:\/\/t.co\/tB6Q0SIBSA\">https:\/\/t.co\/tB6Q0SIBSA<\/a>. The stolen funds are being deposited into <a href=\"https:\/\/twitter.com\/TornadoCash?ref_src=twsrc%5Etfw\">@TornadoCash<\/a> <a href=\"https:\/\/t.co\/6ft7HYpwpq\">pic.twitter.com\/6ft7HYpwpq<\/a><\/p>\n<p>\u2014 PeckShield Inc. (@peckshield) <a href=\"https:\/\/twitter.com\/peckshield\/status\/1590831589004816384?ref_src=twsrc%5Etfw\">November 10, 2022<\/a><\/p><\/blockquote>\n<p> <script async src=\"https:\/\/platform.twitter.com\/widgets.js\" charset=\"utf-8\"><\/script><\/p>\n<p>Experts at PeckShield noted that the hack was possible due to the &#8216;absence of proper reentrancy protection&#8217;.<\/p>\n<p>The DeFi protocol team confirmed the incident:<\/p>\n<blockquote class=\"wp-block-quote is-layout-flow wp-block-quote-is-layout-flow\">\n<p>\u00abWe were notified about suspicious activity within 20\u201330 minutes after the first transaction, and we paused all DFX smart contracts within minutes of confirming the attack,\u00bb the developers said.<\/p>\n<\/blockquote>\n<blockquote class=\"twitter-tweet\" data-lang=\"en\">\n<p lang=\"en\" dir=\"ltr\">1) Today we were notified about suspicious activity happening in the <a href=\"https:\/\/twitter.com\/hashtag\/DFX?src=hash&#038;ref_src=twsrc%5Etfw\">#DFX<\/a> contracts. The attack started at Nov-10-2022 07:21:59 PM +UTC originating from wallet 0x14c19962e4a899f29b3dd9ff52ebfb5e4cb9a067.<\/p>\n<p>\u2014 DFX Finance (@DFXFinance) <a href=\"https:\/\/twitter.com\/DFXFinance\/status\/1590858722728972289?ref_src=twsrc%5Etfw\">November 11, 2022<\/a><\/p><\/blockquote>\n<p> <script async src=\"https:\/\/platform.twitter.com\/widgets.js\" charset=\"utf-8\"><\/script><\/p>\n<p>According to BlockSec researchers, the attacker exploited <a href=\"https:\/\/u1f987.com\/en\/news\/what-are-flash-loans\">flash loans<\/a> to drain liquidity pools, The Block reports. He converted the stolen tokens into ETH and withdrew about $4.3 million in cryptocurrency.<\/p>\n<p>PeckShield gave the same assessment, noting that the hacker was sending funds to the Tornado Cash mixer.<\/p>\n<p>The remaining tokens worth $3.2 million were intercepted by <a href=\"https:\/\/u1f987.com\/en\/news\/from-mev-to-mev-boost-is-the-invisible-tax-in-ethereum-after-the-merge-still-there\">MEV<\/a>-bot in what is known as a &#8220;sandwich attack&#8221; \u2014 a front-running transaction.<\/p>\n<p>The protocol team urged the bot operator to contact them via social-media channels to discuss asset recovery.<\/p>\n<blockquote class=\"twitter-tweet\" data-lang=\"en\">\n<p lang=\"en\" dir=\"ltr\">6) We urge the <a href=\"https:\/\/twitter.com\/hashtag\/MEV?src=hash&#038;ref_src=twsrc%5Etfw\">#MEV<\/a> bot owner to get in contact with us here on Twitter or at our Telegram and Discord.<\/p>\n<p>Polygon pools were not affected as we were able to pause the contracts before the attacker made his way to the polygon side.<\/p>\n<p>\u2014 DFX Finance (@DFXFinance) <a href=\"https:\/\/twitter.com\/DFXFinance\/status\/1590858728236257280?ref_src=twsrc%5Etfw\">November 11, 2022<\/a><\/p><\/blockquote>\n<p> <script async src=\"https:\/\/platform.twitter.com\/widgets.js\" charset=\"utf-8\"><\/script><\/p>\n<p>In the wake of the incident, the DFX token price plunged from around $0.30 to around $0.18. After the correction, the coin trades near $0.18, according to <a href=\"https:\/\/dexscreener.com\/polygon\/0x2dbc9ab0160087ae59474fb7bed95b9e808fa6bc0001000000000000000003db-0x2791bca1f2de4661ed88a30c99a7a9449aa84174-0xe7804d91dfcde7f776c90043e03eaa6df87e6395\">DEX Screener<\/a>. This is more than 99% below its May 2021 high ( <a href=\"https:\/\/www.coingecko.com\/en\/coins\/dfx-finance\">CoinGecko<\/a> ). The market capitalization of DFX is around $4.18 million.<\/p>\n<figure class=\"wp-block-image\"><img decoding=\"async\" src=\"https:\/\/lh4.googleusercontent.com\/4BxzobOg57-sKy3f3FvBKrp1BEely8dCUT24PgUL2clXzgcD9HG0HXFxNP2xi3QyX8UGdmUgeaU0ZzN4HU0ZlAyZfiNOGnqwXGYTBOKIzyg2XT13k-EP3vv5D0rPxTONsnt7jRRr-IaQ5pQJWR-V57g09knGK5NYK2EjmH42A_tNhKKnMN8H4oV6-UUoEw\" alt=\"DeFi-\u043f\u0440\u043e\u0435\u043a\u0442 DFX Finance \u0432\u0437\u043b\u043e\u043c\u0430\u043b\u0438 \u043d\u0430 $7,5 \u043c\u043b\u043d\"\/><figcaption>Source: DEX Screener.<\/figcaption><\/figure>\n<p>The volume of assets locked in the protocol&#8217;s smart contracts collapsed from $18.6 million to $3.6 million, according to DeFi Llama.<\/p>\n<p>As PeckShield noted, by the end of October losses in the <a href=\"https:\/\/u1f987.com\/en\/news\/what-is-web3\">Web3<\/a>-industry from exploits since the start of the year <a href=\"https:\/\/u1f987.com\/en\/news\/web3-ecosystem-losses-from-exploits-year-to-date-near-3-billion\">had approached $3 billion<\/a>, PeckShield reported.<\/p>\n<p>Read ForkLog&#8217;s Bitcoin news on our <a href=\"https:\/\/telegram.me\/forklog\" target=\"_blank\" rel=\"nofollow noopener\">Telegram<\/a> \u2014 crypto news, prices and analytics.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>The Ethereum-based, stablecoin-focused decentralized exchange DFX Finance lost around $7.5 million in assets in an attack.<\/p>\n","protected":false},"author":1,"featured_media":69943,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"select":"1","news_style_id":"1","cryptorium_level":"","_short_excerpt_text":"","creation_source":"","_metatest_mainpost_news_update":false,"footnotes":""},"categories":[3],"tags":[1154,1093],"class_list":["post-69942","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-news-and-analysis","tag-crimes","tag-defi"],"aioseo_notices":[],"amp_enabled":true,"views":"24","promo_type":"1","layout_type":"1","short_excerpt":"","is_update":"","_links":{"self":[{"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/posts\/69942","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/comments?post=69942"}],"version-history":[{"count":1,"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/posts\/69942\/revisions"}],"predecessor-version":[{"id":69944,"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/posts\/69942\/revisions\/69944"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/media\/69943"}],"wp:attachment":[{"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/media?parent=69942"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/categories?post=69942"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/tags?post=69942"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}