Synthetic asset platform, Synthetix lost 37M synthetic ETH in oracle attack

25 Jun, 2019 | Updated: 25 Jun, 2019
by Fifi Arisandi
Security
Synthetic asset platform, Synthetix lost 37M synthetic ETH in oracle attack

Ethereum-based synthetic asset issuance platform suffers from an attack that lost them a huge amount of synthetic Ethereum.

Synthetic asset issuance platform, Synthetix is reported to have lost more than 37 million synthetic Ethereum (sETH) to an oracle attack.

To those unfamiliar, the Ethereum-based platform allows users to mint synthetic assets, from crypto to fiat to derivatives.

CEO Kain Warwick confirmed the incident via their Discord channel by saying, “There has been an incident with the price feed of sKRW, we are currently investigating the root cause, but during the time when the price feed was returning the wrong value we believe an automated arb bot converted into sKRW and then into sETH.”

Moreover, he added that the attack was done automatically by an arbitrage bot, thus he has offered a bug bounty as a reward to the bot owner who helped the company resolve the issue.

Until it is resolved, Synthetix has disabled transfers within the system, as reported by The Block.

Lastly, Warwick couldn’t confirm the true dollar value of the loss due to the relative illiquidity of sETH on secondary market.

Follow Chepicap now on Twitter, YouTubeTelegram and Facebook!

Bitcoin to $20K FAST, but only if THIS happens! $10K CROSSROAD Subscribe to the Chepicap YouTube Channel for more videos!

Read more about: Ethereum (ETH) Hack

Poll

Are you familiar with synthetic asset issuance platform?

(8 votes)

Add a comment

Check out the latest news

You will be logged out and redirected to the homepage