DeFi Project Force DAO Suffers Hack Attack After Launch


Decentralized finance (DeFi) hedge fund Force DAO said it suffered a hack attack that one analyst said was caused by five attackers, one of whom returned their stolen funds.

April 5, 2021 | AtoZ Markets – On Sunday, April 4, Force DAO's DeFi Protocol reported a hack attack a few hours after launch. The FORCE project token has depreciated by 90%.

According to the developers, attackers took advantage of a vulnerability in a smart contract. The team estimated the damage at 183 ETH ($367,000).

Multibank
4.9/5
Multibank Review
Visit Site
eToro
4.9/5
eToro Review
Visit Site
Capital.com
4.8/5
Capital.com Review
Visit Site

The Block researcher Igor Igamberdiev reported that one of the hackers returned 15.8 million FORCE.

Another attacker managed to withdraw 298,000 FORCE and exchange them for 42 ETH ($85,000 at the time of writing). The third stole 4.1 million FORCE, receiving 80 ETH ($16,000).

The Force DAO admitted that it could have prevented the attack.

This could’ve been prevented by using a standard Open Zeppelin ERC-20 or adding a safeTransferFrom wrapper in the xSUSHI contract.”

According to CoinMarketCap, the FORCE token was trading at $2.21 before the attack. At the time of writing, its price has dropped to $0.08.

Meanwhile, project lead developer Alberto Sevallos has said the team will announce a plan to reimburse affected users in the coming days.

As a reminder, in March 2021, the Chinese DODO DEX exchange reported a hack attack in which a number of its liquidity pools were affected. According to the DeFi Prime service, the attackers withdrew $2.1 million from the protocol.

Think we missed something? Let us know in the comment section below.

Leave a Reply

Your email address will not be published.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