Blockchain security company PeckShield has identified a vulnerability in Yearn Finance’s lending platform, resulting in the irregular minting of more than 1 quadrillion Yearn Tether (yUSDT) using $10,000. The hack is the latest addition to the growing number of decentralized attacks.
According to a tweet from PechShield, the hacker went on to convert the yUSDT into other cryptocurrencies, including $11.6 million worth of stablecoins. These included 1.79 Million Binance USD (BUSD), 1.5 million TrueUSD (TUSD), 1.2 million Tether (USDT), 2.58 millions USD Coin USDC, 3 million in DAI and 61,000 Pax Dollar (USDP).
The security firm also reported that the hacker had transferred around $2 million worth of ETH to the privacy-focused crypto mixer, Tornado Cash. Additionally, Aave were notified of the hack, with the firm confirming that their V1, V2, V3, and V3 versions of the protocol were not affected by the exploit.
After the news broke, the price of the yearn.finance token (YFI) dropped to $8,945, but has since recovered to $9,094. Although it is still 2% lower than yesterday’s trading level, the token is still 7% higher over the last seven days.
