Level Finance, a perpetual decentralized marketplace based on the BNB chain, was hacked on May 2. The attacker managed to steal $1.1 million in LVL tokens.
The DeFi market has come under yet another attack, with BNB-based decentralized, non-custodial perpetual market level financing as the next victim. The team announced on Twitter on May 2 that the scammers targeted their smart contracts to steal funds.
Specifically, the attacker targeted referral monitor nodes, draining 214,000 LVL tokens. Then they exchanged the token for BNB coins. Other smart contracts were not affected, as they were isolated from this exploit.
What is the financial level?
The team also provided slight relief as it revealed that the DAO’s liquidity pools and treasury were not affected. They also posted a fairly quick patch within 12 hours.
The team also mentioned that they will provide a postmortem of the attack at a later date, which will hopefully provide some insight into what exactly happened. DeFi attacks continue to haunt the market, and in some cases, even audits have not been enough to prevent them from happening.
Funding Level is a perpetual, decentralized, securityless market. built on the BNB chain, Platform She currently has $32.5 million TVL. Before the breakout, he had a TVL of around $41 million.
Among the features that Level Finance states are that it offers automated pools of liquidity, effective capital hedging, and risk management. The LVL token is the network utility token, incentivizing usage across the ecosystem.
DeFi Hacks in 2023 are on the rise
The number of hacks in 2023 is on the rise, with more attacks occurring in recent weeks. It’s still not as bad as it was in 2022, but that could change quickly with one big hack. For example, hackers stole $20 million in February, an amount that pales in comparison to 2022.
The biggest breakthroughs of the year include Euler Finance and Sentiment. The first saw $197 million stolen, while in the case of the second, it was $1 million. Interestingly, the teams negotiated with the hackers in both cases to get most of the money back.
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