Hack Platypus: 2.4 million dollars recovered – Its victims soon reimbursed?

Platypus teams announce the hack that resulted in the loss of $8.5 million

Platypus is recovering from its hack – Last week, the protocol Platypus Financeevolving on the blockchain Avalanche, has been hacked. In total, the attacker stole at least $8.5 million in the protocol pools. Now, Platypus is trying to remake itself.


8.5 million dollars flew on Platypus

Platypus is a DeFi protocol that operates on the Avalanche blockchain. This offers several services, including a DEX, yield farming pools and an in-house stablecoin, the USP.

Unfortunately, on February 17 in the early morning, the teams of Platypus announced that they had been the target of an attack.

Platypus teams announce the hack that resulted in the loss of $8.5 million
Platypus announces that it has been the victim of a hack – Source: Twitter

In fact, the striker took advantage of a fault in the mechanism of credit check stablecoin USP. The latter therefore took out a flash loan to exploit the error and steal $8.5 million from the protocol’s main pool.

Obviously, this attack had a dramatic impact on the USP course. Indeed, it quickly lost more than half of its value and is currently trading around $0.34a far cry from its dollar standard.

>> Play it safe! Sign up on Binance, and save 10% in fees (commercial link) <<

A compensation plan planned for the victims of the hack?

Fortunately for the Platypus teams, many companies have come to the aid of the protocol to follow and try to recover some of the funds.

Thus, several hours after the attack, the company BlockSec announced that they were able to recover 2.4 million USDC from the attacker’s smart contract. This operation reduced the damage to $6.1 million.

Blocksec recovers $2.4 million in Platypus hack
Blocksec announces that it has recovered 2.4 million USDC – Source: Twitter

Finally, on February 18, the Platypus teams returned to the community to to propose A compensation plan :

“We are working on a plan to compensate for the losses. Please DO NOT REFUND your USPs at a loss! It would be easier for us to deal with the damage. Plus, you don’t have to worry about liquidations, as those are on hiatus. »

Platypus explains thatpart of the stolen funds have been filed on the protocol Aave. The teams are therefore currently looking for a way to recover these funds via a governance proposal on Aave. Subsequently, it will be very likely that Platypus will use the funds of its cash to repay users harmed by the attack. Finally, Platypus will also have to find a solution to restore the standard of its USP stablecoin.

Maybe Platypus could have avoid this attack by being the subject ofaudits thorough. In some cases, tools, such as ChatGPTmay turn out to be strong allies for finding flaws in smart contracts.

Hacks are unfortunate hazards, but not inevitable. Need peace of mind for your cryptos? Register quickly on the Binance platformTHE gold standard in the industry, and save 10% on your trading fees by following this link (trade link).

Last Verdict

To get more updates about the insurance you can follow our website or can bookmark it.

Leave a Reply

Your email address will not be published. Required fields are marked *