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Solana Lending Protocol Exploited for $1.26M in Oracle Attack – Darlinez News.

<p> &lbrack;ad&lowbar;1&rsqb;<br &sol;>&NewLine;<&sol;p>&NewLine;<div>&NewLine;<p>Solana-powered lending protocol Solend suffered an oracle attack that led to &dollar;1&period;26 million in exploited funds&comma; <a rel&equals;"nofollow noopener" href&equals;"https&colon;&sol;&sol;twitter&period;com&sol;PeckShieldAlert&sol;status&sol;1587686180962783234" class&equals;"deco-link" target&equals;"&lowbar;blank" aria-label&equals;"PeckShield reported &lpar;opens in a new tab&rpar;">PeckShield reported<&sol;a>&period; Solend confirmed the attack&comma; saying it targeted three lending pools holding Hubble stablecoin&comma; as well as Coin98 and Kamino tokens&period;<&sol;p>&NewLine;<h3>Attacks on Three Solend Lending Pools Exploited Lead to &dollar;1&period;26M in Bad Debt<&sol;h3>&NewLine;<p>Solend&comma; a decentralized finance &lpar;DeFi&rpar; lending protocol powered by Solana&comma; has been exploited for &dollar;1&period;26 million following an oracle attack that resulted in bad debt&comma; according to the blockchain security firm PeckShield&period; Solend acknowledged the attack&comma; saying it three of its lending pools were targeted&period;<&sol;p>&NewLine;<blockquote class&equals;"wp-block-quote">&NewLine;<p>&OpenCurlyDoubleQuote;An oracle attack on USDH affecting the Stable&comma; Coin98&comma; and Kamino isolated pools was detected&comma; resulting in &dollar;1&period;26M in bad debt&period;”<&sol;p>&NewLine;<p><cite>– <a rel&equals;"nofollow noopener" href&equals;"https&colon;&sol;&sol;twitter&period;com&sol;solendprotocol&sol;status&sol;1587671511137398784" class&equals;"deco-link" target&equals;"&lowbar;blank" aria-label&equals;"Solend said in a tweet &lpar;opens in a new tab&rpar;">Solend said in a tweet<&sol;a>&period; <&sol;cite><&sol;p>&NewLine;<&sol;blockquote>&NewLine;<p>Solend froze the three targeted pools after the attack and said other lending pools remained unharmed&period; The protocol added it informed crypto exchanges about the attack and provided the perpetrator’s address&period;<&sol;p>&NewLine;<p>Solend is a DeFi protocol used for lending and borrowing on Solana blockchain&period; The protocol allows users to lend their assets to earn interest and use their deposits as collateral&period;<&sol;p>&NewLine;<h3>Solana-based Protocols Among Hackers’ Favorites<&sol;h3>&NewLine;<p>Hackers have been increasingly targeting lending protocols where they can inflate the prices of crypto assets while borrowing other assets without repaying the borrowed funds&period; As a result&comma; the protocol is left with a bad debt&comma; which is unlikely to be repaid&period;<&sol;p>&NewLine;<p>In this case&comma; the exploit took place after the attacker took advantage of a flaw in Solend’s price-data oracle&comma; used for tracking crypto prices&period; A similar attack occurred in July 2022&comma; when another Solana-based protocol&comma; Nirvana&comma; was exploited for &dollar;3&period;5 million&period;<&sol;p>&NewLine;<p>The attacks on DeFi protocols have been on the rise since 2021 and that trend has remained strong this year as well&period; Because of this&comma; global regulators including the EU have been shifting their focus toward DeFi&comma; proposing new policies to protect consumers&period;<&sol;p>&NewLine;<p>Protocols operating on Solana have been particularly popular among hackers&period; The blockchain has been facing fierce headwinds in 2022&comma; including multiple network outages&period;<&sol;p>&NewLine;<p>The surge in the number of DeFi exploits is one of the reasons behind the market downturn as investors’ confidence in the stability of crypto assets has been shaken&period; However&comma; the main driver of the current bear run remains the current macroeconomic environment involving 4-decade high inflation and aggressive interest rate hikes&period;<&sol;p>&NewLine;<p><i>This article originally appeared on The Tokenist<&sol;i><&sol;p>&NewLine;<p>&Tab;&Tab;&Tab;&Tab;<&excl;-- &num;post-footer--><&sol;p><&sol;div>&NewLine;<p><script async src&equals;"&sol;&sol;platform&period;twitter&period;com&sol;widgets&period;js" charset&equals;"utf-8"><&sol;script><&sol;p>&NewLine;

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