The lending framework Polter Finance recently succumbed to an incursion that exploited a rapid disbursement characteristic. This event was initiated by a prophetic weakness in the SpookySwap trading platform, resulting in a massive forfeiture of $12 million in cryptocurrency valuables.
Attack Mechanism
Investigators from BlockSec Phalcon unearthed that the aggressor manipulated costs by exploiting Polter Finance’s reliance on SpookySwap’s price. By utilizing a flash loan to withdraw BOO tokens from the WFTM-BOO liquidity pair.
Response and Recovery Efforts
Polter Finance’s founder, dubbed Whichghost, informed Singapore’s authorities about the incident and disclosed that the protocol incurred a loss exceeding 16.1 million Singapore dollars (amounting to roughly 11.98 million dollars).The personal loss for Whichghost was estimated at $223,000. They also offered a reward to the thief to return the money, and they won’t press charges if they agree to it.
Market Impact
After the explovenment, Polter Finance’s mannital token, POLTER, surged by over 85%. According to DefiLlama, the cumulative worth encompassed in the protocol plummeted considerably from $9.77 million to a mere $61,603. They lost $25.5 million but got that money back in exchange for $300,000.
