It was carried out through multiple flash loan transactions.
In May, more than USD 63 million were raped from the platforms at BSC.
BurgerSwap, a decentralized finance (DeFi) platform based on the Binance blockchain was attacked by hackers this Friday, May 28. From the completion of 14 flash loan transactions, criminals stole $ 7.2 million. Thus, the event is added to others that occurred during the year, even for much higher amounts.
The platform developers issued a statement addressed to their users, which can be seen in a thread on their Twitter account, in which it is explained that “all losses” of users will be covered, although they also clarify that they need “something time »to plan how to do it. Users, for their part, have responded to the post with distrust and anger.
Likewise, on the BurgerSwap home page you can see a notification that alerts about what happened and informs that the generation of tokens is suspended, as well as the deposit or withdrawal of liquidity, to avoid further losses. “Our team is working on the issue and will publish the solution later,” they add.
In the official publication of the site on Twitter, it is detailed that the criminals created their own Fake Coin (fake currency that does not meet BEP-20 standards) and formed a trading pair with BURGER. In addition, they also used Wrapped Binance Coin (WBNB) to carry out a series of maneuvers that ended with a balance of 4,400 WBNB, 22,000 Binance USD (BUSD), 2.5 ether (ETH), 1.4 million Tether (USDT ), 432,000 BURGER, 142,000 Xburger AND 95,000 Rocki (ROCKS) in favor of scammers.
As Hayden Adams, creator of Uniswap (a decentralized exchange similar to BurgerSwap but built on the Ethereum blockchain) explains on his Twitter account, the attack would have been possible by removing a line of code when Burger copied version 2 of Uniswap. Another developer supported the social network this theory of deliberate action by the creators of BurgerSwap.
BurgerSwap was launched in September 2020 and was the first project to launch on Binance Smart Chain. It owns its own token, BURGER, which can be used for governance on the site and to earn rewards from voting, betting, and other activities.
BurgerSwap presents a message to its users on the home page of its platform. Source: Burger Swap
The continued attacks on Binance DeFi
BSC-based decentralized finance platforms have suffered a number of similar attacks in recent times. One of the most important occurred on Wednesday, May 19. As CriptoNoticias reported, on that occasion the amounts looted amounted to USD 45 million and another modality was used, which was based on taking advantage of flaws in the code to manipulate the value of the token. Users’ reservations, meanwhile, were not affected.
Nevertheless, just a few days before another event had occurred in which USD 11 million was taken of the DeFi bEarn. Again, the attackers took advantage of a code bug that allowed him to withdraw more funds than he owed.