Sunday, June 23, 2024

Lossless, a DeFi security project, assisted in the recovery of $16.7 million from the Cream Finance hack

The decentralized finance (DeFi) security project, Lossless, in August enabled the recovery of 5,152.6 Ether(ETH). This loss had occurred during the cream finance hack.

The credit for the recovery, according to Lossless, goes to Pascal Caversaccio. Caversaccio is a white hat security expert.

Cream Finance is reported to have been subjected to a flash loan attack of $19 million in ETH and Amp tokens. Cream Finance said that it would reimburse the loss to the concerned users through collection of fees on the protocol.

Retrieval Process

Elaborating on the retrieval process, Lossless clarified that it leveraged its connections in the hacker world to facilitate the return of the funds siphoned off.

Mitigation

Lossless also intimated that it is also planning to deploy a mitigation tool to allow developers to be able to prevent such attacks on the platform in the future. As a part of the mitigation process, Lossless will incorporate a 24-hour freeze. During the freeze, transactions deemed suspicious will be subject to further thorough investigation. The mitigation tool will put to use the knowledge gained in the past manual tracking of hackers.

Lossless will provide security for DeFi projects in Ethereum, Polygon and Binance networks. Lossless and Caversaccio are also reported to have earned, following the recovery of the funds, 50% of the bug bounty.

However, targeting of DeFi platforms by hackers continues unabated. Poly network was recently subjected to a $610 million hack. The hackers responsible later returned the funds. But the hack revealed the existing loopholes in the DeFi platforms. DeFi offers bug bounties to those who reveal vulnerabilities that slip through the code audit.

Cryptured Team
Cryptured Team
The writers team at Cryptured.com is composed of passionate and experienced journalists who cover the latest developments in the crypto and blockchain space. They aim to provide accurate, unbiased and easy-to-understand news and information for their readers, as well as insights and analysis from industry experts. The writers team is always on the lookout for new and exciting stories that can help the general public learn more about the potential and challenges of these technologies.
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