Allbridge exploit: Flash loans still haunt DeFi – $1.65M drained via USDC/USDT pool
Allbridge, a decentralized cross-chain bridge, suffered a $1.65 million exploit after an attacker used a $1.12 million USDC flash loan to manipulate its USDC/USDT liquidity pool. By performing repeated swaps, the attacker distorted the pool's price ratio, allowing them to withdraw nearly $950,000 in USDT at a favorable rate. The stolen funds were then bridged from Solana to Ethereum. In response, Allbridge suspended its Core service and urged users to withdraw liquidity, causing its Total Value Locked (TVL) to drop sharply from $21.61 million to $12.78 million. The attack highlights ongoing vulnerabilities in DeFi pricing mechanisms and the need for enhanced security in cross-chain protocols as they attract significant capital.
ambcrypto07/20 08:32
