Leading cross-chain lending protocol, Radiant Capital has endured a $4.5 million exploitation on its network. The attack was confirmed in a post by security and data analytics firm PeckShield Inc. According to the post, the attackers took advantage of the timely exploit that unfolded after Radiant launched a new market on its network.
The attack on Radiant Capital took place barely six seconds after the lending protocol launched its new USDC market. As revealed, the attackers leveraged a vulnerability known as the timing exploit to overwhelm the platform. Don’t forget that “timing exploit” usually occurs when a firm introduces a new market on its lending platform.
When this happens, attackers are always on standby to take advantage of the vulnerability to breach the security of a network, stealing a substantial amount of crypto funds.
To manage the situation, Radiant Capital’s DAO council has halted lending and borrowing operations on its platform. This step, according to the firm, will enable it to carry out a comprehensive investigation into the cause of the breach.
Radiant insists users’ funds are safe
Meanwhile, Radiant Capital has assured its users of the safety of their funds. The firm also confirmed that operations will commence as soon as the investigation is completed and the security flaw is fixed. It is important to note that Radiant Capital is the first firm to witness an exploitation in 2024.
There’s no doubt that the rising exploitation of DeFi protocols has become a major menace ravaging the crypto world. In the previous year, scores of firms suffered exploitation on their networks. One of the firms, Onyx lost $2.1 million after attackers took advantage of the loophole in its codebase to steal a huge amount of ETH.
Likewise, Fantom Foundation, a scalable blockchain firm also suffered a similar attack on its platform. As revealed, the attacker transferred asset from users wallet to an unknown destination. Fantom Foundation lost about $657,000 to the phishing attack. Also, the attacker moved 2,000 Convex (CVX) tokens, 1000 Dai (DAI), and 4500 USDC (USDC) from the Fantom wallet on Ethereum to his wallet.
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