They then exchanged those ethers for other assets and did a reverse conversion. Eventually hackers directed the funds to the Tornado Cash mixer.
The Rodeo Finance team has yet to acknowledge the hack and remains silent.
Igor Igamberdiev, head of research at Wintermute, said the hacker used “time-weighted average price (TWAP) oracle manipulation” for the attack. TWAP oracles are used to calculate the average price of an asset over a certain period of time. Such manipulation can be used for several forms of attacks, including using instant loans.
However, according to PeckShield, instant loans were not used in the Rodeo Finance case. The procedure is designed to exchange USDC for WETH and then for the unshETH liquidity token