Overview

Decentralized finance platform Abracadabra.Finance was targeted in a breach resulting in the loss of $13 million in cryptocurrency. The attack specifically focused on pools tied to GMX liquidity tokens within Abracadabra’s lending markets, known as “cauldrons.”

Details of the Incident

• Abracadabra’s exploit involved the theft of 6,260 ETH, valued at approximately $12.98 million at the time of the incident.
• The implicated contracts involving GMX were flagged by PeckShield, a blockchain security firm, as compromised.

Response from GMX

GMX distanced itself from the hack, affirming that its contracts remained unharmed. It stated that the issue was strictly associated with the Abracadabra/Spell cauldrons, which utilized GM tokens as collateral.

A bug bounty of 20% was offered to the attacker, and Abracadabra is collaborating with security partners, including Guardian Audits, to assess the damage and investigate the cause of the attack.

Related History

Previously, Abracadabra experienced a different exploit that caused its Magic Internet Money stablecoin to lose its dollar peg, with losses totaling $6.49 million.

Stay informed about future developments in this unfolding story.