Threat actors have stolen more than $29 million in cryptocurrency assets from Cream Finance, a decentralized finance (DeFi) platform.
C.R.E.A.M. Finance is a decentralized lending protocol for individuals, institutions and protocols to access financial services. It promises earnings to users who are passively holding ETH or wBTC.
The security breach was confirmed by the company with a message via Twitter:
The blockchain security firm PeckShield first spotted the attack and published a series of Tweets containing evidence of the security breach.
According to Cream Finance, attackers conducted “reentrancy attack” in its “flash loan” feature to steal 418,311,571 in AMP tokens and 1,308.09 in ETH coins.
Reentrancy attacks consist in withdrawing funds repeatedly before the original transaction is approved or declined.
DeFi attacks are becoming very profitable for threat actors, according to a recent post published by CipherTrace they totalled 361 million By July 2021 and accounted for 76% of all major hacks in 2021.
“By July 2021, DeFi-related hacks total $361 million, already making up three-quarters of the total hack volume this year—a 2.7x increase from 2020. DeFi-related fraud continues to rise, as well. At the time of this report, DeFi-related fraud accounted for 54% of major crypto fraud volume, whereas last year DeFi-related fraud only made up 3% of the year’s total.” states CipherTrace.
(SecurityAffairs – hacking, DeFi)