The recent security breach at Radiant Capital has led to the loss of 1,900 ETH, totaling around $4.5 million.
In Brief
Radiant Capital faced a cybersecurity incident where 1,900 ETH, approximately valued at $4.5M, was stolen. The firm announced a temporary halt on its platform while they conduct a thorough investigation.
Cross-chain lending protocol Radiant Capital The platform experienced a security breach resulting in the compromise of 1,900 ETH, equating to roughly $4.5 million. Consequently, the company announced a suspension of its lending and borrowing services on Arbitrum a Layer 2 scaling solution that supports Radiant Capital while they work through this investigation.
PeckShield, a blockchain security and analytics organization, revealed that the breach occurred just six seconds after a new market was activated. The attackers exploited this critical window during the market launch within the lending environment.
Radiant Capital indicated that the breach was linked to a problem with the newly established native USDC market on Arbitrum. They also mentioned plans to publish a postmortem report once the investigation concludes.
At this moment, there are no immediate threats to user funds, and regular activities are anticipated to resume after the investigation wraps up.
Lately, the rapidly changing world of decentralized finance Decentralized Finance (DeFi) has seen an alarming rise in sophisticated hacking attempts targeting various projects.
DeFi Ventures Confront Intensifying Cybersecurity Threats
Cross-chain lending protocols These systems, aimed at enabling effortless asset lending and borrowing across diverse blockchain networks, are increasingly falling prey to malicious actors eager to penalize their smart contract weaknesses.
Not long ago, the DeFi lending protocol Euler Finance fell victim to an exploit that resulted in losses nearing $200 million, with the attacker resorting to a flash loan to execute their scheme.
According to a report from TRM Labs This attack on Euler Finance stands out as one of the most significant infrastructure breaches of 2023, involving unauthorized infiltration into critical subsystems.
The recent breach affecting Radiant Capital's cross-chain lending platform underscores the escalated risks facing DeFi initiatives. This incident reiterates the pressing need for enhanced security protocols within the DeFi ecosystem.
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