As a result of the flash loan attack on the Avalanche blockchain, $370 thousand worth of assets were seized by the attackers.
Blockchain security firm CertiKshared on September 7 according to data, Avalanche with various liquidity providers in its network and a smart contract flash loan system 370 thousand USDC it was stolen. The staking service on the Avalanche blockchain at the center of the attack Nereus FinanceIt is reported that . As in many flash loan attacks so far, the identity of the hacker has not yet been determined.
It is known that large capital is required to make such an exploit. It seems that the attacker solved that capital with a small commission thanks to a flash loan. snowtrace According to the data of the attacker, a small transaction fee is required to initiate the attack. $51 million It is understood that he got a flash loan and after paying his debt by manipulation within seconds, he took the remaining money into his own account.
used in the attack To summarize the flash loan system briefly; results in the attacker using a smart contract vulnerability in the lending platform to pretend to have paid off the debt they received within seconds of transactions, and then withdraw the remaining money to their own account. Attacks on the Flash Loan domainIt can also be accomplished by exploiting the vulnerabilities of a decentralized finance or cryptocurrency platform. Attackers often act very quickly in the process because they know they have to pay off the debt in a single transaction.
There has been no statement from Ava Labs about the attack so far.