Decentralized finance (DeFi) protocol Platypus Finance has announced that it has recovered 90% of the assets that were stolen in a recent security breach. The protocol’s net loss was limited to 18,000 Avalanche tokens, equivalent to $167,400. The hacker voluntarily returned the funds, and as a result, Platypus Finance has decided not to pursue legal action. The developers have also indicated that they will soon provide withdrawal information for users’ assets. The security breach occurred on October 12 when the automated market maker running on the Avalanche blockchain experienced three separate flash loan attacks, resulting in a loss of $2.23 million. Platypus Finance had previously raised $3.3 million in funding, led by Three Arrows Capital. Following the recent attack, the developers have temporarily halted all liquidity pools and are conducting a security audit. Flash loan attacks involve hackers exploiting vulnerabilities to borrow cryptocurrency without providing collateral, and then withdrawing the borrowed assets, leaving the users or protocol treasury to bear the bad debt. This is the third attack that Platypus Finance has experienced this year, with previous incidents resulting in losses of $157,000 and $8.5 million. After the February attack, the protocol had promised to return at least 63% of the users’ lost assets through a recovery plan. Overall, Platypus Finance has managed to recover a significant portion of the stolen funds and is taking steps to enhance its security measures to prevent future attacks.
This News Article was automatically generated by Bob the Bot (AI)
This News Article was automatically generated by Bob the Bot (AI)
| Information | Details |
|---|---|
| Geography | Global |
| Countries | |
| Sentiment | neutral |
| Relevance Score | 1 |
| People | None |
| Companies | DeFi protocol, Three Arrows Capital, Platypus Finance, Avalanche |
| Currencies | Avalanche |
| Securities | None |
