KyberSwap, a decentralized exchange (DEX) protocol, has been hacked, with the attacker draining roughly $47 million worth of crypto assets. The incident was announced by KyberSwap early Thursday, thereby advising customers to withdraw their funds as a precaution.
BlockSec, a Smart Contract and EVM chain audit platform, reported that the attack was a flash loan exploit, with the hacker manipulating prices and ticks of targeted liquidity pools. The stolen funds include $20 million in WETH, $4 million ARB and $7 million wstETH, spread across Ethereum, Arbitrum, Optimism, Polygon, and Base.
The security breach caused KyberSwap’s total value locked (TVL) to plunge from over $83 million to $13.61 million, as per DeFiLlama. The Kyber Network Crystal (KNC) token was down 3.1% at the time of writing, trading near $0.722.
This attack comes just a day after HTX’s HECO chain bridge suffered an $86 million exploit. It is the latest in a series of similar incidents in the crypto industry, highlighting the need for better security protocols.
