Euler Finance, a DeFi lending protocol, suffered a flash loan attack on March 13, resulting in the biggest hack of crypto in 2023 so far.
The lending protocol lost nearly $197 million in the attack, impacting more than 11 other DeFi protocols as well. Euler Finance disabled the vulnerable etoken module and vulnerable donation function to block deposits.
On March 14, Euler Finance updated its users on the situation and notified them of the disabled features. The firm stated that it works with various security groups to perform audits of its protocol, and the vulnerable code was reviewed and approved during an outside audit.
However, the vulnerability remained on-chain for eight months until it was exploited, despite a $1 million bug bounty in place.Read more on blockchain.news