Summary
The MIM stablecoin, used in the Abracadabra DeFi lending protocol, has been exploited, resulting in $6.5 million being stolen. The attacker targeted specific cauldrons on Ethereum to take out unauthorized MIM loans, which were then exchanged for ETH. Borrowing limits have been set to zero to prevent further losses, and the Abracadabra team has sent a message to the attacker’s address in hopes of recovering the stolen assets. The team plans to use the protocol’s treasury to buy and burn MIM to restore its peg. They are also working with Chainalysis to track the stolen assets.
Key Points
1. The MIM stablecoin is currently trading at a 6% discount as the team tries to contact the hacker through an onchain message.
2. The DeFi lending protocol Abracadabra has suffered an exploit resulting in a loss of $6.5 million. The attacker targeted specific cauldrons on Ethereum to take unauthorized MIM loans and then swapped the borrowed MIM for ETH.
3. The Abracadabra team has set borrowing limits to zero on the affected cauldrons to prevent further losses and has sent an onchain message to the exploiter’s address in hopes of recovering the stolen assets. They are also working with blockchain analytics firm Chainalysis to track the flow of the stolen assets.