Polygon-Based Lending Protocol Hacked With Losses in USDC, USDT

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Polygon-Based Lending Protocol Hacked With Losses in USDC, USDT
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Polygon-based lending protocol suffers exploit, here's what happened USDC USDT Polygonscan PolygonNetwork

Blockchain security firm PeckShield has confirmed the incident and unveiled the root cause following a joint investigation with the affected 0vixProtocol. The root cause was determined to be the introduction of a vulnerable"VGHSTOracle," which was deployed on March 17, 2023. The VGHSTOracle suffers from what it described as"donation-based price manipulation."

The exploit involved a series of leveraged borrowings from the vulnerable vGHST oracle, which made the hacker's borrowing position liquidatable. The borrow position was then liquidated to take back the original USDC collateral. In a happy ending, the exploiter apparently apologized in a message attached to one of the blockchain transactions and returned the majority of the stolen funds to the protocol.confirmed the incident and said it was working with its security partners to look into the current situation that seems to be related to vGHST.

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