An unknown person withdrew approximately 114 million AllianceBlock (ALBT) tokens and 98 million BEUR from the pool on the BonqDAO protocol.
Seems that @BonqDAO and @allianceblock has been exploited and large amounts of BEUR and ALBT tokens tokens have been stolen. hacker so far has managed to get 500k USDC from dumping BEUR. He still has 98m BEUR and $12m worth of ALBT. pic.twitter.com/2NPAyXIpGQ
— Spreek (@spreekaway) February 1, 2023
Due to the low liquidity of the assets, the hacker was only able to partially convert them into Ethereum and DAI in the amount of approximately $1.7 million. In total, the hacker’s wallet stores coins worth about $89.8 million.
AllianceBlock said that the incident did not affect other BonqDAO pools, or “treasuries”, as they are called in the project. Hacked by manipulating the price oracle, the smart contract allows issuing BEUR against collateral in ALBT.
Both teams are working with partners to remove liquidity from the market and stop exchange trading of coins.
The developers of AllianceBlock also stopped the work of the cross-chain bridge until the situation is resolved. The protocol team stated that it took a snapshot to issue tokens in order to compensate for the damage to users.
There has been a recent incident involving several ALBT Troves on Bonq, with the attacker gaining access to around 110M ALBT.
The incident is isolated to these Troves. None of our smart contracts was breached or compromised. pic.twitter.com/puntkIPK3G
— AllianceBlock (@allianceblock) February 1, 2023
Against the background of the incident, the price of ALBT at the moment fell by about 75%. After recovery, the token is trading at levels around $0.046. This is 59% lower than the quotes of the asset before the hack (CoinGecko).
Theoretically pegged to the euro, BEUR lost 22% of its value in a day. At the time of writing, the price of the asset is $0.86
Recall that in 2022 the total damage to the crypto industry from 359 different incidents, including hacks and bankruptcies, reached $63.9 billion, calculated in HAPI Labs.
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