Avalanche’s Vee Finance loses $35m in exploit
Vee Finance has confirmed an attacker exploited its network for $35m (£25.6m) taking 8,805 ETH ($26.6m) and 214 BTC ($9.2m).
Vee Finance is a cross chain lending platform which provides a bridge between blockchains. The platform is built on the ultra-fast Avalanche blockchain to provide users with high speeds and low transaction costs.
“We are taking and handling this incident seriously and will do our best to protect the interests of VEE Finance users,” the team behind Vee Finance said in a statement.
“The attacker has not yet transferred or processed the stolen assets further. The VEE team is actively working to further clarify the incident and will continue to try to contact the attacker to recover the assets,” the statement added.
News of the hack comes days after Vee Finance announced the total value deposited by users on the platform had reached $300m. In a reversal of fortune the price of VEE has fallen by 85.2 per cent from its all time high of $0.85 on Saturday to $0.12 in the wake of the hack.
In an effort to encourage the attacker to return funds Vee finance is offering a ‘bug bounty,’ a financial reward gifted to developers who spot bugs in a project’s codebase, in exchange for the stolen assets.
The attack is the second on the Avalanche network this month. Earlier this month, Avalanche based DeFi protocol Zabu Finance lost $3.2 million in an attack thought to be the first major exploit on the Avalanche blockchain.
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