Yield compounding tool Grim Finance saw $30 million worth of fantom tokens stolen from its protocol later an exploit on Sunday. The project went to preventive lengths to stop further damages.
Grim Finance Based on the Fantom Opera Network
Based on the Fantom Opera network, Grim Finance permits clients to stake their liquidity pool tokens in what it calls Grim Vaults, naturally harvesting yields and re-staking rewards utilizing techniques for considerably more significant returns.
Liquidity pool tokens are given to decentralized trade clients who supply their own liquidity in return for a symbolic reward from the stage. Such trades are a subset of the decentralized finance (DeFi) market, which relies on brilliant agreements rather than go betweens for monetary administrations like loaning, exchanging, and getting.
The simplicity of staking and harvesting increased yields on Grim Finance pulled in more than $100 million in client funds to the protocol, as indicated by total value locked (TVL) measurements on examination apparatus DeFiLlama. They remained protected, until yesterday.
Attackers Stole Nearly $30M in Fantom Tokens on Grim Finance
The attackers took almost $30 million in fantom tokens, information from Fantom blockchain explorers show. A lot of that appears to have already been directed to other Fantom-based decentralized trades (DEXs, for example, AnySwap and SpookySwap, where the stolen tokens were traded for different tokens, for example, USD Coin, a dollar-pegged stablecoin, in one such occasion.
Developers stopped all vaults on Sunday to prevent further damages. They further educated USD Coin issuer Circle, AnySwap, and Maker to freeze any assets related to the exploit.
The hack caused a mass migration of TVL on Grim Finance. Just $4.3 million remain in Grim Finance vaults, and the total value locked (TVL) fell 84% in the beyond 24 hours.