Unknown attackers withdrew $200 million in cryptocurrencies from the PancakeBunny smart contract using a flash loan
The attackers stole about $200 million in cryptocurrencies from the PancakeBunny protocol. About this the development team reported on your official Twitter page. The developers claim that the smart contract was not hacked, and the reason for the theft of cryptocurrencies was an “economic exploit”.
“We would like to remind the community that no storage has been compromised. The exploit was an economic catch that attacked the BUNNY price using flash credit. We repeat, no storage was hacked, ” the developers claim.
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It is reported that the attackers stole about 700,000 BUNNY tokens and 114,000 BNB. The total amount of thefts was $200 million at the exchange rate at the time of the theft.
According to the developers of the decentralized finance protocol (DeFi), the attackers took a “large” flash loan for PancakeSwap in binance coin (BNB) tokens. With the help of the loan, unknown persons manipulated the USDT/BNB and BUNNY/BNB trading pairs.
However, the developers did not specify exactly how the manipulation of trading pairs occurred. By inflating the price of BUNNY, the attackers dumped the accumulated tokens, bringing down the token rate, before paying off the flash loan on BNB.
Pump & Dump
After the price of BUNNY was inflated, the attacker, before paying off the BNB flash loan, dumped all the tokens he had accumulated back into the market, which led to the collapse of the native PancakeBunny token. The developers added that deposits and withdrawals of tokens from the protocol will be frozen until the team “will not increase the security” of the protocol.
Meanwhile, the price of BUNNY dropped 80% to $30. Before the hack, the native DeFi protocol token cost ~$150.
The capitalization of the ecosystem decreased to $32.3 million. The attack against PancakeBunny also affected the price of BNB. At the time of writing, the token is trading in the red by 15% at $360. It is worth noting that this is not the first time that the DeFi protocol based on the Binance Smart Chain blockchain is under the gun of attackers.
The editorial board of BeInCrypto reported that the bEarn Fi cross-chain protocol also lost $11 million in the BUSD stablecoin as a result of the flash credit attack.
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