OpenLeverage Falls Victim to Hacks: $230K Worth of Assets Drained 🕵️♂️
OpenLeverage, a permissionless lending and margin trading protocol, has recently experienced multiple hacks resulting in the loss of approximately $230,000 worth of assets. The security breaches were detected by blockchain security firm Cyvers Alerts, who identified that the attacker’s wallet was funded through Tornado Cash, a privacy-focused protocol. Despite detecting the malicious contract deployment before the attack transactions, the stolen funds remain in the possession of the attacker.
- Cyvers Alerts flags multiple transactions with OpenLeverage
- Losses total around $230K
- Attacker funded through Tornado Cash
Pause in Operations and Investigation Initiated by OpenLeverage
Following the security breaches, OpenLeverage has taken swift action by pausing its operations and launching investigations into the incident. The platform reassured its users that the accumulated insurance and buyback funds are sufficient to cover the losses incurred as a result of the hacks.
- Confirmation of operational pause and ongoing investigation
- Assurance of coverage for losses through insurance and buyback funds
Protocol Closures and User Fund Protection 🛡️
Subsequent to the security breaches, OpenLeverage announced the closure of its trading and lending protocols while initiating procedures to allow users to withdraw their funds. The platform has emphasized that no user funds will be lost due to the hacks, as the in-protocol insurance, OLE buyback fund, and protocol reserves are sufficient to cover all losses.
- Decision to close trading and lending protocols
- Initiation of user fund withdrawal processes
- Assurance of no losses for users due to available insurance and reserves
Bounty Offered for Stolen Funds Return and Legal Steps Taken ⚖️
In an effort to recover the stolen funds and hold the attacker accountable, OpenLeverage has announced a bounty for the return of the assets. The platform has also stated that legal proceedings and tracing processes will commence immediately to address the security breaches and recover the missing assets.
- Bounty announced for the return of stolen funds
- Initiation of legal and tracing processes
Hot Take: OpenLeverage Takes Swift Action to Address Security Breaches 🚀
Despite falling victim to security breaches that resulted in the loss of $230,000 worth of assets, OpenLeverage has demonstrated a proactive approach by pausing its operations, initiating investigations, and ensuring that no user funds will be lost. By offering a bounty for the return of stolen funds and engaging in legal proceedings, the platform is taking decisive steps to address the breaches and safeguard its users’ interests.
Sources:
– [Cyvers Alerts Twitter](https://twitter.com/CyversAlerts/status/1774680444161646680)
– [OpenLeverage Twitter](https://twitter.com/OpenLeverage/status/1774681597507256423)
– [OpenLeverage Twitter Update](https://twitter.com/OpenLeverage/status/1774734793990971462)
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