- Raft DeFi service lost $3.3 million in ETH, hacker incurred a 4 ETH net loss.
- Raft’s R stablecoin value dropped to 70 cents post-attack, later recovered.
- The same day, the Poloniex exchange suffered $114 million in digital asset theft.
Decentralized finance (DeFi) service Raft was compromised on Friday afternoon, resulting in a loss of approximately $3.3 million in Ethereum (ETH). However, it appears the hacker might have incurred losses from the theft. According to blockchain records, the hacker withdrew 1,577 ETH from Raft and then transferred 1,570 ETH to a burn address, effectively destroying the majority of the pilfered funds and retaining only 7 ETH. Prior to the attack, the perpetrator’s address had received 18 ETH through the cryptocurrency mixing service Tornado Cash, as indicated by data from Arkham, presumably to cover transaction costs.
Following the completion of the transfers and covering the blockchain fees, the exploiter’s cryptocurrency wallet ended up with just 14 ETH, less than the initial 18 ETH they started with. Consequently, the hacker incurred a net loss of 4 ETH as a result of the entire operation.
In the aftermath of the attack, Raft’s R dollar-pegged stablecoin saw a significant decline, dropping up to 50% from its intended $1 value, according to Coinmarketcap. However, it later recovered to approximately 70 cents. David Garai, co-founder of Raft, acknowledged the incident in a post on X (previously known as Twitter), confirming that the platform had been attacked. Garai detailed that the attacker minted R tokens and sold them, draining liquidity from automated market makers. At the same time, they withdrew collateral from Raft.
“We are trying to make people whole using the protocol-owned sDAI in the Peg Stability Module.”
David Garai, Raft co-funder
Friday witnessed a second significant cryptocurrency breach, earlier in the day, where an attacker siphoned approximately $114 million in digital assets from the centralized exchange, Poloniex.
