Another Two Binance Smart Chain Projects Suffer Flash Loan Attacks

Total
0
Shares

Another two projects of Binance Smart Chain, (BSC), were hit by flash loans. This time it was Burger Swap (BURGER), and JulSwap(JULD).

Binance, the crypto exchange giant, is making BSC more popular, but it’s also becoming more prone to incidents like flash loans.

“BurgerSwap just suffered Flash Loan attack,” stated the project’s website today at 7:17 UTC. To avoid any further loss, we have temporarily suspended swap, liquidity addition and removal, as well as BURGER generation.

The team was working on the issue and that they will publish the solution “later” as well as more details “soon”.

The Twitter thread about the issue contains more information. It states that USD 7.2m was taken in 14 transactions. This includes ethereum, binance USD (BUSD), as well as tether (USDT).

JustLiquidity’s JulSwap appears to have been affected by a flash loan attack prior to this. CEO Tobias Graf stated that there was no hack or exploit. For now, no further information is available.

BURGER currently trades at USD 6.94 It fell 15% in a single day, 10% in a week and 30% in a monthly period. JULD trades at USD 0.48. It is down 21% in one day, 44% in one week and 63% in one month. JUL is down 60% in a single day, 61% in one week, 75% in a monthly, and now stands at USD 17.63.

As is the norm, the team has been accused of committing scams, including a rugpull disguised to attack. This has become a common pattern.

The total number of incidents involving BSC-based projects in the last month now stands at five. Uranium Finance was the victim of a security breach in April. This was followed by incidents reported by Venus Protocol and Pancake Bunny a little over a week later.

According to journalist Wu Blockchain, total losses from BSCs due to flash loans or other attacks surpassed USD 157m as of May.

Andrew M. Bailey, a researcher, sees a positive side. While Bitcoiners tend to ignore “the more recherché altcoin projects” and “DeFi gizmos,” these tokens and protocols “conservatively stable, realistic, and realistic.” These attacks demonstrate that DeFi players must account for such risks in order to win. Bitcoin is different!

Leave a Reply

Your email address will not be published.

You May Also Like