- It was due to a bug in a smart contract
- The details of the attack are already known
Popular DEX Level Finance fell victim to an exploit. A hacker found a vulnerability in a smart contract and withdrew over $1 million worth of LVL exchange token. It later converted LVL tokens into 3,345 BNB.
The incident was also investigated by ubiquitous firm Peckshield. An excerpt from the firm’s report states that the “LevelReferralControllerV2” smart contract contained a bug that allowed repeated referrals from the same epoch.
According to the Binance BSC Scan reviewer, the V2 controller smart contract has detected several “claim multiple” calls in the last two days.
Since the attack began, experts have not yet changed the implementation of the smart contract.
However, the exchange promised to roll out a new implementation of the referral contract in the next 12 hours. The team also claims that the exploit is isolated from other contracts.
The value of the Level token (LVL) reacted to the news by falling nearly 25%. As of this writing, its exchange rate is $6.94.
According to CertiK, attacks on cryptocurrency projects in April resulted in the loss of over $100 million. Exploits account for the lion’s share of these hacks.