Cryptocurrency Hacking: Hackers steal $180 million in crypto from Beanstalk Farms

San Francisco: Hackers have stolen nearly $180 million in cryptocurrency from decentralized finance (de-fi) project Beanstalk Farms.

As The Verge reports, Beanstalk operates a system where participants earn rewards by contributing funds to a central funding pool, which is used to balance the value of a token closer to $1.

The company acknowledged in a tweet, “Beanstalk encountered an exploit. The Beanstalk Farms team is investigating the attack and will make an announcement to the community as soon as possible.”

The hackers took advantage of Beanstalk’s majority vote governance system, a core feature of many DeFi protocols.

The attack was first noticed by blockchain analytics company PeckShield.

The Beanstalk attacker “used a flash loan obtained through decentralized protocol Aave to borrow approximately $1 billion in crypto assets and exchange them for enough beans to gain a 67 percent voting stake in the project”.

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The report said the attacker immediately repaid the loan, earning a profit of $80 million.

In January this year, hackers stole $120 million worth of crypto tokens from blockchain-based decentralized finance (DeFi) platform BadgerDAO. Several crypto wallets were liquidated before the platform could stop the cyberattack.

In December last year, cybercriminals stole $80 million worth of cryptocurrency from decentralized finance (DeFi) platform, Qubit Finance.

The US this week indicted North Korean hacker group Lazarus for stealing $625 million in cryptocurrency from Ronin Networks, owned by developer group Sky Mavis.

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