Dego Finance DeFi Project Got Hacked In $10M Attack

The defi project Dego Finance got hacked in a $10 million attack, becoming the latest in line in the defi space to get attacked so let’s read further in our latest cryptocurrency news.

Dego Finance was hacked in early February and shortly after, it joined forces with some prominent crypto exchanges like Kucoin, finance, and Gate.io to close deposits on the native token DEGO. The protocol urged Poloniex, Uniswap, PancakeSwap, and WazirX to do the same thing and mitigate the losses. The official Twitter handle of the project claimed that its own address provided liquidity on the popular exchanges like PancakeSwap, Uniswap and got compromised so as a result, DEGO pairs liquidity provided by the team was drained. The platform urged the hackers to come forward and communicate:

“We’ll keep all stakeholders updated on the latest developments, as well as talk to reputable security teams on how to identify the hacker and retrieve loss. We would ask the hacker to come forward and communicate.”

The exploiters withdrew more than $10 million from @dego_finance & @CocosBCX !
The illegal assets are currently here ETH&BSC: 0x118203b0f2a3ef9e749d871c8fef5e5e55ef5c91

Here is the drained wallets list: pic.twitter.com/xEyjNztAib

— PeckShieldAlert (@PeckShieldAlert) February 10, 2022

As per the blockchain security company Peckshield, the exploiters withdrew about $10 billion from Dego Finance but also from GameFi incubator Cocos-BCX. The data from the company shows that funds from 13 addresses were drained which belonged to the Binance Smart Chain, Cronos, and ethereum. Dego Fiance’s token-DEGO took quite the beating after the hack and it slumped by almost 20% from $4.50 to $3.65 in a matter of hours. For the uninitiated, the Defi project saw the light of day two years ago and offered both NFT and DEFI tools. It claimed to be an open-source NFT ecosystem allowing users to mint NFts in addition to auctions and trading.

It also offers a cross-chain infrastructure to facilitate the blockchain ventures and enhance the user base but also to distribute tokens as well as develop more NFT apps. Last year, Binance announced listing the project in its Innovation Zone. The Rug pulls however and hacks, continue to wreak havoc in the DEFI space and 2021 was actually quite the monumental year for DEFI and the bad actors in the space. Rug pulls accounted for 37% of the scam revenue last year as opposed to 1% in 2020. this year, almost nothing changes as such events continue to make headlines. The reports show that Peckshiled detects more than 50 potential scam projects on the binance smart chain.