Decentralized finance protocol Convergence, a Curve-based completely mostly yield-making improvements to protocol, a become exploited Thursday, sending its token’s stamp to near-zero.
The attacker created (minted) 58 million of the protocol’s CVG token the usage of a vulnerability in the protocol’s codebase, and swapped the tokens for 60 wrapped ether (wETH) and 15,900 crvFRAX stablecoin the usage of liquidity swimming pools on Curve, web3 security auditing agency QuillAudits talked about.
Blockchain data on Etherscan exhibits that the attacker’s handle converted the funds to ether (ETH) and sent the tokens to Twister Cash.
The assault introduced on about $210,000 loss, QuillAudits added.
CVG holders, nevertheless, suffered extra ruin because the token’s $17 million completely diluted fee (FDV) before the assault evaporated. CVG’s stamp declined Ninety 9% in the Curve liquidity swimming pools, nosediving to $0,0004 from shopping and selling round $0.12 earlier at this time.
Convergence asked customers to now not work alongside with the protocol.
