Blockchain security company Cyvers has reported major security breaches affecting the MIM_SPELL platform of Defi platform Abracadabra.
The attack lost 6,262 ETH, worth around $12.9 million.
According to Cyvers, the attackers quickly bridged the stolen ETH to the Ethereum Network and distributed the funds to three newly generated wallets.
MIM checks for violations
On March 25th, MIM confirmed the exploit in a statement without disclosing the amount stolen.
According to the platform, the exploit targeted GMCAuldron smart contracts. We passed an audit conducted by Guardian Audits, the team that reviewed GMX’s core infrastructure.
The platform also highlighted the existence of additional security layers, such as integration with Hexagate and Zeroshadow’s threat tracking systems.
Despite these measures, the exploit was not noticed until some transactions had already been completed. Zeroshadow ultimately identified irregular activities, and then Abracadabra stopped all borrowing functions tied to the affected contract.
The platform emphasized that users’ collateral is still intact, but found that its internal team is still assessing the full scope of the violation.
MIM said:
“For hackers, we are happy to entertain negotiations with a total of 20% bug awards (email protection) or chain ETH 0xDF2C270F610DC35D8FFDA5B453E74DB5471E126B.”
Early indications suggested that the incident may have affected GMX’s platform, but Dex revealed that its smart contract remains untouched.
According to GMX, the exploit is separated into Abracadabra’s cauldron, supporting borrowing against GM’s liquidity tokens.
Protocol added:
“We believe this issue is only relevant to Abracadabra/Spell Cauldrons. These cauldrons allow borrowing for specific GM liquidity tokens. Contributors from spells, GMX, and security researchers are currently investigating the cause of this issue.”
Despite the distance from GMX incidents, the platform’s native tokens were still a hit.
Encryption Data shows GMX has dropped by nearly 5%, falling from $14.74 to $13.74 before recovering slightly at press time.
(tagStoTranslate)Ethereum
