dForce coin market suffers $25 million Hacker attack, founder details response measures

dForce coin market was attacked by a Hacker, the founder reviews the events from start to finish.

On April 19, the money market Lendf.Me in the dForce ecosystem was hacked, resulting in approximately $25 million worth of assets being illegally withdrawn from the contract. dForce founder Yang Mindao published an article the next day, detailing the events of the incident and the subsequent handling of the situation.

According to reports, the dForce team discovered abnormal transfer activities around 9:15 AM Beijing time on April 19 through their internal monitoring system. The team immediately took action, suspending the operation of Lendf.Me and the USDx contract, and temporarily shutting down the website for a thorough investigation. As of now, the investigation is still ongoing, but the team has already obtained some information related to the Hacker. It is noteworthy that the Hacker's attack has ceased.

Since the incident occurred, the dForce team has been actively seeking solutions. The measures they have taken include: collaborating with top security teams to conduct a comprehensive security assessment of Lendf.Me; discussing feasible solutions with partners; closely cooperating with major exchanges, over-the-counter traders, and law enforcement agencies to recover stolen funds and track the Hacker's whereabouts.

The recent hacker attack primarily exploited a vulnerability in the ERC777 standard of the imBTC asset, implemented through a reentrancy attack method. The attacker utilized the callback mechanism to repeatedly use forged imBTC as collateral, thereby borrowing a large amount of funds.

Yang Mindao emphasized that this attack not only affected users and partners, but also severely harmed the interests of himself, his partners, and the entire team. He revealed that he also suffered significant financial losses in this incident.

The dForce team promises to provide the community with more detailed explanations and clarifications before the end of the day. Despite this setback, the team stated that they will not give up and will continue to work on resolving the issues and strengthening platform security.