The vulnerability was found in the second version of the protocol, which was launched three days ago. The hacker used an instant loan of $5.9 million to carry out the attack.
“We are already aware of the hacking of our protocol, actively cooperating with law enforcement and information security professionals.
We’ll post more details as soon as possible,” the developers of Jimbo’s Protocol promised.
Jimbo’s project is powered by Arbitrum. The developers tried to create a token with a “semi-stable” minimum price, supported by a certain amount of third-party assets.
For this they took elements of the Olympus DAO project, which performed well, but then the token collapsed.
Jimbo’s developers have changed some aspects of the project to make the token more stable. For this purpose, among other things, the project’s own liquidity is used.
Jimbo’s Protocol started on May 16, but was soon shut down due to an error in the smart contracts.
The developers urged the community not to use the project and to wait for the second version of the protocol.
But they were too hasty to roll out smart contracts and didn’t do enough validation. After the hack, the token collapsed from $0.24 to 0.
According to TRM Labs, the amount of cryptocurrencies stolen in the first quarter of 2023 fell 65% compared to the same period in 2022.
At the same time, the number of hacks declined slightly.