Hacker exploits Deus Finance DAO, nets about $3 million

The DeFi protocol Deus Finance DAO was hacked. The hacker’s profit totaled about $3 million, including 200,000 DAI and 1,101.8 ETH.

1/ @deusdao Deus Finance was exploited in https://t.co/bfYCQcz5rZ, leading to the gain of ~$3M for the hacker (The protocol loss may be larger), including 200,000 DAI and 1101.8 ETH

— PeckShield Inc. (@peckshield) March 15, 2022

PeckShield reported that losses for the project could be higher. The Deus Finance team confirmed the hack but said that the funds were safe and promised to disclose details of the incident later.

We are aware of the recent exploit reports regarding the $DEI lending contract.

Contract has been closed, both $DEUS & $DEI are unaffected. Devs are working on a summary of the events, all information will be communicated once we have assessed the full situation.

— DEUS Finance DAO (@DeusDao) March 15, 2022

According to PeckShield researchers, the attacker used for the attack instant loans. The breach became possible due to manipulation of the oracle that sets the price in the USDC/DEI pair, they found.

After the attack, the hacker sent the funds in ETH to the Tornado Cash mixing service.

In the wake of the breach, the protocol’s native token DEUS fell from above $400 to around $330. By the time of writing, the coin was trading near $330.

The DEI token is an algorithmic stablecoin in the Deus Finance ecosystem. The RugDoc team believes that the DeFi protocol’s losses in this coin amounted to $35 million, but the hacker earned only about $3 million.

🚨🚨@DeusDao was exploited in a flashloan for $2.8m $ETH, $200k $DAI, and at least $35m of $DEI

The Rugger himself only got off with ~$3m profithttps://t.co/KUHCf6lw3s pic.twitter.com/WKTDixWuPU

— Rugdoc.io (@RugDocIO) March 15, 2022

In February, DeFi projects QiDAO, Dego Finance and Titano Finance were among the victims of hacker attacks.