Chibi Finance team on June 20 suddenly disappeared, leaving users bewildered and panicked. All online profiles associated with Chibi Finance, including the official website, Twitter account and Telegram channel, have been deleted.
At the request of platform users, PeckShield conducted its own investigation into the situation and examined Chibi Finance’s digital footprint on the blockchain network.
It turns out that Chibi Finance’s cold storage was emptied. All user funds placed in Arbitrum network converted into 555 ether (ETH). Then, to camouflage their trail, the Chibi Finance team used the Tornado Cash mixing service, which hid the origin of the transactions and made it harder to try to trace the stolen funds.
PeckShield experts said that the incident with the disappearing Chibi Finance team and the use of the Tornado Cash service in stealing funds underscores the need for vigilance when interacting with DeFi projects. Security experts are confident: Users can only overcome potential pitfalls if they approach DeFi space with caution and include critical thinking. Carefully verifying the authenticity of project credentials and the transparency of project participants.
Peckshield analysts previously reported
about the hack of Hashflow. A couple of hours later, representatives of the DeFi-platform itself acknowledged the incident and announced that they were working on a solution.