New Free DAO crashes 99% after $1.25M flash loan attack

A flash mortgage assault launched in opposition to New Free DAO (NFD) has drained $1.25 million from the protocol and precipitated its token value to crash by 99%.

Blockchain safety agency Certik raised an alarm in regards to the assault by way of Twitter on Sept. 8. The attacker manipulated NFD’s “addMember()” operate so as to add himself as a member, which gave him entry to make use of the unverified contract to execute three flash loans.

The attacker was in a position to borrow 4481 WBNB and swapped it for NFD tokens amounting to $1.25 million which compelled the token value to crash by 99%.

About $500,000 is claimed to have been swapped to BUSD and being laundered via sanctioned mixing protocol Twister Money.

Attackers take to Avalanche

In lower than 24 hours, the crypto neighborhood needed to battle two flash mortgage assaults, together with that of Avalanche.

On Sept. 7, a flash mortgage assault on the Avalanche blockchain wiped off $370,000 USDC from protocols constructing on the community.

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