đ¨ Shocking Smart Contract Exploits You Need to Know! And How to Avoid Them đ¨
Learn from recent attacks to secure your project:
1ď¸âŁ Euler Finance Hack (2023) - $197M loss
What Happened: Euler Finance was hit by a flash loan attack exploiting vulnerable code that allowed unauthorized liquidation, manipulating token prices and draining funds.
Solution: Implement stringent checks for flash loans and enhance protocol security through rigorous code audits and simulations.
2ď¸âŁ Sentinel Protocol Exploit (2023) - $150M drained
What Happened: The attacker found a loophole in the bonding curve mechanism, manipulating pricing data to drain the protocol by minting tokens at a significantly undervalued rate.
Solution: Secure bonding curves and pricing oracles, and validate input data through multiple sources.
3ď¸âŁ Mango Markets Exploit (2023) - $114M loss
What Happened: The attacker manipulated the price of Mangoâs native token via low liquidity to borrow funds beyond the collateralâs worth, draining the protocol.
Solution: Implement robust price oracles, limit borrowing power, and monitor for abnormal trading behavior.
4ď¸âŁ Level Finance Exploit (2024) - $1.1M loss
What Happened: A bug in the reward calculation allowed the attacker to claim rewards multiple times, draining the protocol gradually through repeated exploitation.
Solution: Validate all reward claims, add safeguards against repeated claims, and regularly audit reward mechanisms.
5ď¸âŁ Tornado Cash Governance Attack (2023) - $20M taken
What Happened: An attacker gained control of the governance contract using a malicious proposal, allowing them to drain funds from the treasury without proper checks.
Solution: Strengthen governance security with time locks, community review, and enhanced multisig controls.
Staying updated on these attacks helps fortify your smart contracts against evolving threats!đĄď¸
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