{"id":74237,"date":"2023-02-17T10:05:37","date_gmt":"2023-02-17T08:05:37","guid":{"rendered":"https:\/\/forklog.com\/en\/?p=74237"},"modified":"2025-09-09T18:54:24","modified_gmt":"2025-09-09T15:54:24","slug":"platypus-defi-protocol-on-avalanche-loses-8-5-million-in-hack","status":"publish","type":"post","link":"https:\/\/u1f987.com\/en\/platypus-defi-protocol-on-avalanche-loses-8-5-million-in-hack\/","title":{"rendered":"Platypus DeFi protocol on Avalanche loses $8.5 million in hack"},"content":{"rendered":"<p>The USP stablecoin of the Platypus Finance DeFi project lost its peg to the dollar after an attack, in which an unknown actor siphoned $8.5 million from the Avalanche-based protocol.<\/p>\n<blockquote class=\"twitter-tweet\" data-lang=\"en\">\n<p lang=\"en\" dir=\"ltr\">Dear Community,<br \/>We regret to inform you that our protocol was hacked recently, and the attacker took advantage of a flaw in our USP solvency check mechanism. They used a <a href=\"https:\/\/u1f987.com\/en\/news\/what-are-flash-loans\">\u00abflash loan\u00bb<\/a> to exploit a logic error in the solvency check mechanism in the contract holding the collateral.<\/p>\n<p>\u2014 Platypus \ud83d\udd3a (\ud83e\udd86+\ud83e\udda6+\ud83e\uddab) (@Platypusdefi) <a href=\"https:\/\/twitter.com\/Platypusdefi\/status\/1626396538611310592?ref_src=twsrc%5Etfw\">February 17, 2023<\/a><\/p><\/blockquote>\n<p> <script async src=\"https:\/\/platform.twitter.com\/widgets.js\" charset=\"utf-8\"><\/script> <\/p>\n<p>The team said the hacker used <a href=\"https:\/\/u1f987.com\/en\/news\/what-are-flash-loans\">\u00abflash loan\u00bb<\/a> and a logic error in the solvency-check mechanism in the collateral contract.<\/p>\n<p>After the loss of $8.5 million, the main pool covers about 35% of user deposits.<\/p>\n<blockquote class=\"twitter-tweet\" data-conversation=\"none\" data-lang=\"en\">\n<p lang=\"en\" dir=\"ltr\">3\/ There were losses totaling 8.5M from the main pool. Right now deposits from users are covered up to 35% of their deposits. Funds in other pool are unaffected.<br \/>The hacker has been contacted to negotiate a bounty in exchange for return of the funds.<\/p>\n<p>\u2014 Platypus \ud83d\udd3a (\ud83e\udd86+\ud83e\udda6+\ud83e\uddab) (@Platypusdefi) <a href=\"https:\/\/twitter.com\/Platypusdefi\/status\/1626396544214904833?ref_src=twsrc%5Etfw\">February 17, 2023<\/a><\/p><\/blockquote>\n<p> <script async src=\"https:\/\/platform.twitter.com\/widgets.js\" charset=\"utf-8\"><\/script><\/p>\n<p>The protocol developers reached out to several firms, including Binance, Tether and Circle, to freeze the stolen assets. They offered the hacker a bounty in exchange for returning the funds.<\/p>\n<p>The USP stablecoin lost about 52% of its value after the exploit. The USD-pegged stablecoin traded at around $0.48 (CoinGecko).<\/p>\n<figure class=\"wp-block-image\"><img decoding=\"async\" src=\"https:\/\/lh6.googleusercontent.com\/A9AW86yti38PuRBZ7Vht19VIrLUsd0TE-ve0sf3T_9jmpEQdajREUlihlkH8-xSg58fQ4cd9ehSe3TndZ-L6XR1oqGdbd6pgeJyq7GOk6k0TjFOVBUIhGQ1VPBHcqKhlgPFhHl6xjPg_Ho6LcKO-BNI\" alt=\"DeFi-protocol Platypus on Avalanche loses $8.5 million in hack\"\/><figcaption>Data: <a href=\"https:\/\/www.coingecko.com\/en\/coins\/platypus-usd\">CoinGecko<\/a>.<\/figcaption><\/figure>\n<p>Platypus Finance offers users an <span data-descr=\"Automated Market Maker \u2014 automated market maker\" class=\"old_tooltip\">AMM<\/span> platform for pegged assets. According to <a href=\"https:\/\/defillama.com\/protocol\/platypus-finance\">DeFi Llama<\/a>, the total value of assets locked in the protocol stands at $40.77 million. At its peak in March 2022 the figure reached $1.25 billion.<\/p>\n<p>In 2022, <a href=\"https:\/\/u1f987.com\/en\/news\/what-is-web3\">Web3<\/a>-industry lost about $3.6 billion in hacks, according to Beosin. This was almost 50% higher than the year prior, Beosin experts estimate.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>The USP DeFi project&#8217;s stablecoin lost its peg to the dollar after an attack in which an unknown actor siphoned $8.5 million from the Avalanche-based protocol.<\/p>\n","protected":false},"author":1,"featured_media":74238,"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-74237","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":"29","promo_type":"1","layout_type":"1","short_excerpt":"","is_update":"","_links":{"self":[{"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/posts\/74237","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=74237"}],"version-history":[{"count":1,"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/posts\/74237\/revisions"}],"predecessor-version":[{"id":74239,"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/posts\/74237\/revisions\/74239"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/media\/74238"}],"wp:attachment":[{"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/media?parent=74237"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/categories?post=74237"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/tags?post=74237"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}