Hedera Hashgraph has confirmed the occurrence of a smart contract exploit on the Hedera Mainnet that resulted in the theft of several liquidity pool tokens.
According to Hedera, the attacker targeted liquidity pool tokens on decentralized exchanges (DEXs) that derived its code from Uniswap v2 on Ethereum, which was ported over for use on the Hedera Token Service. Hedera also reported that the suspicious activity was detected when the attacker tried to move the stolen tokens across the Hashport bridge, which included liquidity pool tokens on SaucerSwap, Pangolin, and HeliSwap.
The operators acted promptly and temporarily paused the bridge to prevent the movement of stolen tokens. The team at Hedera did not confirm the amount of tokens that were stolen.
Hedera managed to shut down network access by turning off IP proxies on March 9 and stated that it has identified the root cause of the exploit and is working on a solution. Once the solution is ready, Hedera Council members will sign transactions to approve the deployment of updated code on the mainnet to remove the vulnerability. The team added that once the mainnet proxies are turned back on, normal activity will resume.
TokenInsight is dedicated to covering the most valuable news in the world of crypto. If you have information to share with us, please feel free to contact our email news@tokeninsight.com. Your trust will be well respected.
Layer 1
Security Incidents
Infrastructure
