Dark Mode
© Copyright CryptoPotato

Massive $200 Million Exploit: Euler Finance Suffers a Flash Loan Attack

Euler Finance suffered a massive flash-loan attack, resulting in almost $200 million worth of crypto being compromised.
George Georgiev
By George Georgiev

As if the traditional banking system isn’t causing enough troubles, a DeFi lending protocol called Euler Finance was also hit by a flash-loan attack.

The damage equates to almost $200 million worth of staked ether, USDC, wrapped BTC, and DAI.

  • Euler Finance is a decentralized lending protocol that was most recently exploited for a whopping $197 million in total.
  • The breakdown of the funds is as follows: $8.7 million worth of the decentralized stablecoin DAI, $34 million worth of USDC, $19 million WBTC (wrapped BTC), and $136 million worth of staked ETH.
  • The hacker was able to borrow a large amount of money and drain them from the DeFi protocol through a so-called flash loan.
  • The way flash loans work is they enable users to take a loan without collateralizing them, provided they are able to return the borrowed funds within the same block.
SPECIAL OFFER (Exclusive)
Binance Free $600 (CryptoPotato Exclusive): Use this link to register a new account and receive $600 exclusive welcome offer on Binance (full details).

LIMITED OFFER for CryptoPotato readers at Bybit: Use this link to register and open a $500 FREE position on any coin!

Tags:
Crypto Scams Hacking
Author icon

About the author

George Georgiev
George Georgiev
Contact:

Georgi Georgiev is CryptoPotato's editor-in-chief and a seasoned writer with over 8 years of experience writing about blockchain and cryptocurrencies. Georgi's passion for Bitcoin and cryptocurrencies bloomed in late 2016 and he hasn't looked back since. Crypto’s technological and economic implications are what interest him most, and he has one eye turned to the market whenever he’s not sleeping.