BonqDAO protocol suffers $120M loss after oracle hack

BonqDAO protocol suffers $120M loss after oracle hack - Check out the story here

[{"selector":"#anim-e38bdbc3-2280-42da-be91-6936c3a9a2dc [data-leaf-element=\"true\"]","keyframes":{"transform":["translate3d(-28.90624987200394%, 0, 0)","translate3d(0%, 0, 0)"]},"delay":0,"duration":2000,"easing":"cubic-bezier(.3,0,.55,1)","fill":"both"}] An oracle hack allowed the exploiter to manipulate the price of the AllianceBlock token, leading to an estimated $120 million loss, according to Peckshield. Arrow

[{"selector":"#anim-523ef1d2-2277-454e-893a-7654259d87f7 [data-leaf-element=\"true\"]","keyframes":{"transform":["translate3d(-34.179687404002955%, 0, 0) translate(-25%, 0%) scale(1.5)","translate3d(0%, 0, 0) translate(0%, 0%) scale(1)"]},"delay":0,"duration":2000,"fill":"forwards"}] A small decentralized autonomous organization (DAO) has suffered a rather sizeable smart contract exploit, leading to an estimated $120 million being stolen from its protocol. Arrow

[{"selector":"#anim-9a48c384-6ce0-4b2a-a6ad-9394c516eebd [data-leaf-element=\"true\"]","keyframes":{"transform":["translate3d(34.179687404002955%, 0, 0)","translate3d(0%, 0, 0)"]},"delay":0,"duration":2000,"easing":"cubic-bezier(.3,0,.55,1)","fill":"both"}] BonqDAO told its Twitter followers on Feb. 1 that its Bonq protocol was exposed to an oracle hack that allowed the exploiter to manipulate the price of the AllianceBlock (ALBT) token. Arrow

[{"selector":"#anim-dee0b4dc-a611-4dd9-8770-6db7f9775061 [data-leaf-element=\"true\"]","keyframes":{"transform":["translate3d(-34.179687404002955%, 0, 0) translate(-25%, 0%) scale(1.5)","translate3d(0%, 0, 0) translate(0%, 0%) scale(1)"]},"delay":0,"duration":2000,"fill":"forwards"}] An independent analysis from blockchain security firm PeckShield has estimated the loss from the Bonq hack to be around $120 million Arrow

Most of the high-scale transactions took place on the Polygon network.

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[{"selector":"#anim-177f0c72-a80b-4f44-b80a-d665889e3f44 [data-leaf-element=\"true\"]","keyframes":{"transform":["translate3d(-28.90624987200394%, 0, 0) translate(-25%, 0%) scale(1.5)","translate3d(0%, 0, 0) translate(0%, 0%) scale(1)"]},"delay":0,"duration":2000,"fill":"forwards"}] PeckShield explained that the exploiter was able to change the updatePrice function of the oracle in one of BonqDAO’s smart contracts Arrow

[{"selector":"#anim-2a702bd5-19fb-43d9-870d-204b60b4288a [data-leaf-element=\"true\"]","keyframes":{"transform":["translate3d(28.90624987200394%, 0, 0)","translate3d(0%, 0, 0)"]},"delay":0,"duration":2000,"easing":"cubic-bezier(.3,0,.55,1)","fill":"both"}] This triggered the exploitation of the wALBT and BEUR. The hacker then swapped about $500,000 worth of BEUR for USDC on Uniswap before burning all 113.8 million wALBT to unlock ALBT. Arrow

PeckShield and others noted that the price of the BEUR and ALBT tokens went down considerably in a short period of time

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