Crypto Lender Exactly Hit by $12M Bridge Exploit

Home

Blockchain

By coindesk.com August 18, 2023 In Blockchain, Hackers

The protocol becomes the latest in a long line of firms to be struck by a hack involving a cross-chain bridge.

Cross-chain bridge attacks equal $2B in 2022 (Charlie Green/Unsplash)

Exactly Protocol, a decentralized credit market on the Optimism network, has been targeted by a bridge exploit worth as much as $12 million.

The hacker used an exploiter contract on Ethereum that transferred deposits to Optimism before ultimately bridging stolen funds back to Ethereum, blockchain security firm De.Fi said in a tweet.

We’re in the ‘Middle of a Battle’ for Crypto’s Soul:…

Crypto Wallet Maker Ledger Partners With PayPal;…

Sei Blockchain’s New Token Tumbles After Airdrop

The Methodology Behind Coindesk’s…

Insolvent Crypto Lender Celsius, Former CEO Alex…

Tether to Discontinue Support for Bitcoin Layer…

SHIB Plunges as Users Report Bridge Issues After…

Coinbase Shares Erase Earlier Gains After…

It is estimated that 7,160 ether (ETH) has been lost equating to $12.04 million at current prices.

The protocol’s native governance token (EXA) slumped by more than 12% following the exploit as it currently trades at $5.51, per CoinMarketCap.

The hack coincides with a significant downturn across the wider cryptocurrency market, with several assets including XRP, LTC and BCH leading double-digit declines as roughly $1 billion in positions were liquidated in a a 24-hour period.

Recommended for you:

Cross-chain bridges have become a common attack vector for hackers due to the relatively novel technology. Last year it was estimated that over $2 billion was lost to bridge hacks, according to Chainalysis.

Edited by Parikshit Mishra.

Newsletter Every Wednesday

Sign up for Crypto Long & Short, our weekly newsletter featuring insights, news and analysis for the professional investor.

DISCLOSURE

Please note that our privacy policy, terms of use, cookies, and do not sell my personal information has been updated.

The leader in news and information on cryptocurrency, digital assets and the future of money, CoinDesk is a media outlet that strives for the highest journalistic standards and abides by a strict set of editorial policies. CoinDesk is an independent operating subsidiary of Digital Currency Group, which invests in cryptocurrencies and blockchain startups. As part of their compensation, certain CoinDesk employees, including editorial employees, may receive exposure to DCG equity in the form of stock appreciation rights, which vest over a multi-year period. CoinDesk journalists are not allowed to purchase stock outright in DCG.

Oliver Knight

Oliver Knight is a CoinDesk reporter based between London and Lisbon. He does not own any crypto.

Follow @OKnightCrypto on Twitter

Learn more about Consensus 2024, CoinDesk’s longest-running and most influential event that brings together all sides of crypto, blockchain and Web3. Head to consensus.coindesk.com to register and buy your pass now.