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).

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.

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