Millions of Dollars Stolen from DeFi Protocol Hedgey Finance
A DeFi protocol fell victim to a hack, resulting in the loss of millions of dollars over the Ethereum (ETH) and Arbitrum (ARB) blockchains.
Cybersecurity firm Cyvers revealed that DeFi platform Hedgey Finance had been breached by bad actors who took at least $1.9 million worth of funds, which were converted to the stablecoin Dai (DAI).
Hedgey Finance experienced a security breach with their Hedgey Token Claim Contract, resulting in a total loss of around $1.9 million. The attacker is believed to be funded by ChangeNOW_io. All stolen funds were swapped to DAI and transferred to an external address.
According to Hedgey Finance, users should cancel active claims related to the Hedgey Token Claim Contract. This contract allows users to create token claims for recipients while having greater control over when claimed tokens are unlocked.
Security Alert: The company is investigating an attack on the Hedgey Token Claim Contract. If you have created active claims, please cancel them using the ‘End Token Claim’ button.
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The team is actively working with auditors to understand the attack and stop any ongoing attacks. More information will be shared as it becomes available.
Citing a since-deleted post from Cyvers, on-chain analyst Colin Wu revealed that Hedgey suffered a significantly larger loss totaling over $44 million.
According to Cyvers Alerts, the on-chain token infrastructure protocol Hedgey suffered an attack on the Arbitrum and lost about $42.8 million, and suffered the same attack on the Ethereum and lost about $1.9 million.
Alexander Stefanov
Reporter at CoinsPress
Alex is an experienced finance journalist and a cryptocurrency and blockchain enthusiast. With over five years of experience covering the industry, he deeply understands the complex and constantly evolving world of digital assets. His insightful and thought-provoking articles provide readers with a clear picture of the latest developments and trends in the market. His passionate approach allows him to break down complex ideas into accessible and insightful content. Follow up on his content to be up to date with the most important trends and topics - stay ahead of the curve with CoinsPress.
