In February, the DeFi space experienced a series of attacks, resulting in a loss of around $21 million in cryptocurrency. Defi Lama, a DeFi data analytics platform, identified a loan reentrancy attack on Platypus as one of the most significant attacks of the month, which resulted in a loss of $8.5 million, media reports said.
DefiLlama displayed six other significant attacks in February, starting with the price oracle attack. By manipulating the AllianceBlock token’s price, the attackers could mint substantial BEUR amounts, which they then exchanged for other Uniswap tokens. Although PeckShield estimated that the losses from the attack were around $120 million, hackers only took away around $1 million owing to a lack of liquidity on BonqDAO.
On February 2, Orion Protocol, a decentralized exchange, was targeted in a reentrancy attack resulting in a loss of around $3 million. However, the CEO of Orion Protocol confirmed that all users’ funds were secure.
Another victim of a reentrancy attack was the DeFi dForce network, which lost around $3.65 million. Fortunately, all the funds were given back when the scammer was identified as a white hat hacker, and the funds were fully returned to both Arbitrum and Optimism.
On February 16, Platypus Finance had to face another attack, this time a loan attack, which led to the loss of $8.5 million from the protocol. The attack occurred due to the code being in unarranged order. Nevertheless, the team is attempting to recover approximately 78% of primary pool funds by reissuing previously frozen stablecoins.
On February 20, the Hope Finance project was also hit by a smart contract exploit, which caused a loss of approximately $2 million. The scam was exposed when the Hope Finance Twitter account made an announcement to notify users of the incident. The incident was also flagged by CertiK, a security firm specializing in Web3.
Authorities in France apprehended two individuals suspected of being involved in the attack for the Platypus Finance hack on February 25, seizing around $222,000 worth of crypto assets.
