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DeltaPrime, a decentralized crypto protocol, suffered a $4.75 million hack, marking its second exploit since September.
Blockchain analysts pinpointed multiple drained pools on Arbitrum and Avalanche, triggering alarms throughout the crypto community.
$4.75 Million Hack Rocks DeltaPrime
DeltaPrime disclosed a second hack on its protocol, reporting a contained loss of $4.75 million via X. The first breach, which occurred in September, resulted in $6 million stolen after attackers exploited vulnerabilities in private key security. Although the protocol previously faced scrutiny over allegations of employing North Korean IT workers, experts remain uncertain whether this connection played any role in the recent exploits.
CertiK analysts traced the stolen funds to a specific wallet address, confirming that a vulnerability in the periphery adaptor contract enabled the attack. DeltaPrime’s team quickly responded, pausing operations on both chains to limit further losses.
“DeltaPrime was just exploited on Avalanche and Arbitrum for a total of (initial estimate) $4.75m. With the protocol being paused on both chains, the risk is contained. We will provide updates asap,” their X announcement stated.
The security breach highlights a rise in cryptocurrency hacks, with $129 million in cumulative losses in October 2024 alone. DeltaPrime is just one of many platforms affected, as October saw 20 incidents involving various hacks and exit scams. Among the most prominent was Radiant Capital, which also faced significant losses.
Founded in January 2023, DeltaPrime initially garnered high interest, attracting over $63 million in total value locked. The protocol also unlocked more than $20 million in liquidity, backed by major players like Avalanche, GSR Capital, and Uplift.
Despite its growth and reputation, the DeltaPrime hack signals a critical need for strengthened security across its operations, which many users have been quick to call out.
“I don’t understand how it’s possible to get hacked twice for a DeFi app, it’s all about money so it should always be the best security level, best audits, best practices,” said one X user.
DeltaPrime’s attacker demonstrated a high level of sophistication, directing $1.3 million of stolen funds into liquidity farming through LFJ and USDC farming on Stargate.
This strategic maneuver highlights hackers’ increasing technical prowess in the crypto space. With heightened security measures now in place, DeltaPrime aims to prevent further incidents and restore community trust amidst rising cybersecurity concerns in the industry.
The post DeltaPrime Hit by Second Hack in 2 Months, Losing $4.75 Million appeared first on BeInCrypto.
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