Levana Crypto Protocol Hit by Major Security Breach #LVN $LVN
The Levana Protocol #LVN, one of the blockchain-based perpetual futures swap protocols, was hacked. Between December 13 and December 26, the project was attacked, resulting in a loss of approximately $1.14 million from its liquidity pools. The attack involved a congestion exploit on the Osmosis blockchain. A combination of vulnerabilities allowed the attackers to change/deplete the pools by manipulating data, a technique known as an Oracle attack.
*Damage* The attackers drain about 10% of the liquidity pools. In response to the incident, Levana $LVN has temporarily suspended the creation of new positions and modifications to existing ones. The platform confirmed that existing trade positions and profits have not been impacted. #LVN is currently developed and will be implemented in a code upgrade across all chains where Levana is available, including Osmosis, Sei, and Injective. As part of its recovery plan, Levana has committed to compensating affected liquidity providers. This compensation will involve an airdrop and the distribution of collected protocol fees from the attack period. The security breach at Levana Protocol highlights the persistent vulnerabilities and risks associated with decentralized finance platforms. The incident underscores the need for continuous vigilance and robust security measures in the dynamic and evolving landscape of blockchain technology.
*Damage* The attackers drain about 10% of the liquidity pools. In response to the incident, Levana $LVN has temporarily suspended the creation of new positions and modifications to existing ones. The platform confirmed that existing trade positions and profits have not been impacted. #LVN is currently developed and will be implemented in a code upgrade across all chains where Levana is available, including Osmosis, Sei, and Injective. As part of its recovery plan, Levana has committed to compensating affected liquidity providers. This compensation will involve an airdrop and the distribution of collected protocol fees from the attack period. The security breach at Levana Protocol highlights the persistent vulnerabilities and risks associated with decentralized finance platforms. The incident underscores the need for continuous vigilance and robust security measures in the dynamic and evolving landscape of blockchain technology.
Source [CryptoNews] cryptonews.com/news/perpetuals-trading-protocol-levana-suffers-oracle-attack-loses-1-14-million.htm
