Sentiment, a lending protocol, seems to have been attacked on April 4, 2023, for over $500,000 worth crypto, as stated by Cointelegraph.
According to Cointelegraph, insights from Ethereum blockchain showed that a transaction was conducted from Synapse Bridge worth 536,738.410031 USD Coin, relating to Arbitrum transactions extracting coins from Sentiment. It’s believed that the explorer has been termed as “Sentimentxyz Exploiter” by Arbiscan.
“The Sentiment team has recently been made aware of a potential issue concerning the Sentiment protocol. We are actively looking into the situation and will provide additional information momentarily,” Sentiment tweeted.
Based on information by Cointelegraph, Sentiment is yet to give clarity around how its plans to prevent the attack or how users can reduce associated risks. Reportedly, the attacker hijacked the protocol deployer’s key. Sources suggest that the attacker started through implementing a contract on Arbitrum Network using the given address: 0xa4d063b9468b93aee2a87ec7072c3dabd5ee5968.
Moreover, Cointelegraph noted that post upgradation of the contract, the illegal smart contract permitted the hacker to shift different tokens, which caused loss of funds to the protocol. Consequently, these funds were then swapped and moved using the Synapse bridge to Ethereum network.
(With insights from Cointelegraph)