Stablecoin ℓUSD fell to zero after DeFi project Linear was hacked
Date: 2023-09-22 Author: Karina Ziganova Categories: IN WORLD
The price of the coin fell to zero. The amount of damage is unknown.
“The attacker was able to create an unlimited amount of ℓAAVE and subsequently exchange the liquid asset for ℓUSD through Linear Exchange and then sell it on PancakeSwap and Ascendex,” the statement said.
The Linear team has taken a number of actions to protect the protocol and user funds:
Suspended all smart contracts that allow the issuance, exchange and burning of tokens;
Disabled the bridge for ℓUSD;
Engaged third-party specialists to track hackers and bring them to justice;
Provided data on the wallets involved in the exploit to major exchanges and law enforcement agencies.
The developers promised to reveal the details of the incident later and asked not to trade ℓUSD during the investigation.
According to CoinGecko, over the past 24 hours, stablecoin trading volume amounted to about $3 million. About $2 million of this figure occurred in the period after the exploit.
“Restoring the protocol and addressing user harm will be our top priority until the issue is fully resolved,” the team stressed.
The day before, the DeFi protocol Balancer reported that its frontend had been hacked. Damage is believed to be approximately $238,000.
