Yesterday was a bad day for the leader of the DeFi projects known as the yearn.finance. l can still recollect very well that last year about 20% and above crypto crimes were being executed on DeFi projects and yet just the beginning of this year the crimes are starting again with same DeFi projects. Well, l'm very sure the DeFi Community is working very hard to reduce the crimes in the sector and surely things will get better gradually in DeFi projects generally.
As l said earlier, yesterday was a bad day for yearn.finance and its investors because a bad guy or group of bad guys were able to exploit about 11 million from the project in the form of stable coin DAI. According to the project management, the attack was dangerous and the hacker succeeded taking some funds. Because of that yearn.finance dropped from around $34,000 to $30,000 and later recovered slowly to $31,000.
Even though the attack was successful, the hacker was able to successfully transfer only about 3 million and below while the rest were confused as fees. The fee consumption arises when the hacker was trying to convert the hacked funds to the DAI stable coin and there he paid that much fees because he was looking for a safer way to transfer the hacked funds.
Even with all the efforts the hacker made to transfer the stolen funds safely, some funds were still locked by the stable coin network, said by the CTO of tether management, Paolo Ardoino. The stable coin tether company was able to freeze 1.7 million dollars of the stolen funds from harvest.finance and will be transferring them back to the project.
So when we now analyse things, it means the hacker was able to exploit about a million dollar from the project yearn.finance and the whole DeFi Community is working very hard towards recovery those funds.
There was one thing all the DeFi projects had received from yearn.finance in the past and that was their supportive hand. And because of that all the other DeFi projects have agreed to support yearn.finance to pay all those lost funds that were exploited from the project from the attack.
Now there is one big lesson we should learn here, even though harvest was the greatest DeFi project in terms of its price, yet it was very supportive to the other growing projects around it. Had it being that yearn.finance wasn’t showing support and care to the other DeFi projects, they wouldn’t have also being this helpful when the incident occurred and this clearly tells us never to stop helping others no matter their class. No condition in life is permanent and we need this in mind always.
I will use this opportunity again to conclude my article and again thank all my readers and all the members of Publish0x for supporting me to this far. I would also appreciate any advice from any member concerning my piece l just wrote so that l improve upon my writing on the next articles.
Thank you all for reading my piece and remember to stay safe in this era of the pandemic…
Have a nice day!!!