BY DAYO ADESULU
Pancakeswap has been identified as a tool the attackers used to attack the Binance Smart Chain-based decentralized lending protocol that last week lost $6.3 million.
Belt Finance report shows that the attack, that used Pancakeswap as a tool for executing its strategy, used a series of operations to manipulate its belt/BUSD pool, a stable token in the protocol, and profit due to this inefficiency.
The Belt Finance attackers took advantage of a series of inefficiencies in the smart contract to manipulate the price of the set and obtain profit from a series of transactions.
The Belt Finance team declared in a post mortem report that the attackers managed to exploit this bug eight times before being detected.
As part of its proactive measures, the team of Belt Finance immediately suspended withdrawals and deposits to the affected pools and claimed the attack vector that was used for the attack has been patched after the attack.
The team of Belt Finance immediately suspended withdrawals and deposits to the affected pools and claimed the attack vector that was used for the attack has been patched after the attack. In addition to this, they are studying how to reimburse the users affected by this event.
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Belt Finance team: ”We are currently working to create a fair and comprehensive compensation plan for those affected with a snapshot of the accounts that were affected by this attack.
”We will release a compensation plan within the next 48 hours, a time frame necessary for us to get and go through all the logs to see exactly which users need to get compensated.”
It was gathered that in addition to the aforementioned, Belt Finance is studying how to reimburse the users affected by this event.
Bitcoin.com said this is just the last of a series of attacks that seem to be pointing to Binance Chain protocols due to their vulnerabilities. Belt Finance is a Binance Smart Chain-based decentralized lending protocol.
Records have shown over time that the BSC network has become a magnet for flash loan attacks in recent days.
In the month of May, PancakeBunny, another liquidity protocol in the chain, also suffered an attack that made them lost three million dollars, and Bogged Finance, a similar project, lost almost the same amount in a flash loan attack too.
Alongside this, the defi protocol Burgerswap was siphoned for $7.2 million in a flash loan attack.
The official account of the Binance Smart Chain said on Twitter that the development has led developers to believe there is an organized group targeting BSC protocols.
