A bug in the DeFi protocol Soft Yearn (SYFI) allowed an anonymous user to turn the invested 0.5 ETH into 740 ETH.
1/ Take it as you will:
I am the person who sold $SYFI on uniswap at the same time as the Rebase.
Or, I am the person who exploited the rebase bug in $SYFI.
Or, I am the malicious actor who pulled the rug on innocent chads.
— Amplify (@A_mplify) September 7, 2020
The SYFI token is designed to automatically adjust its circulating supply in line with the current price. The principle was originally used by the developers of the DeFi project Ampleforth.
A user going by the handle Amplify said he exploited a data synchronization error between Soft Yearn and the Uniswap exchange. The trader sold two SYFI tokens at the old price, exhausting all available liquidity in the pool. With an initial investment of 0.5 ETH, he received 740 ETH.
12/ Minutes before the Rebase I decided to buy back into $SYFI with my initial investment of .5ETH, I already made 1.5ETH. I had nothing to lose, right?
— Amplify (@A_mplify) September 7, 2020
Amplify stressed that there was no malicious intent or desire to harm anyone in his actions.
“I saw an opportunity, a deal, if you will, and I took it,” he wrote.
In total, the SYFI price collapsed from around $150 to near-zero levels in a day.
In August, a bug led to the disabling of 13% of Parity-Ethereum and OpenEthereum nodes. Users were offered to revert to an earlier version of the software, switch to another client, or wait for a stable release.
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