Quantstamp Unveils Top 5 DeFi Protocols Facing January Losses

Quantstamp, a security startup specializing in decentralized finance (DeFi), revealed the top 5 smart contract protocols most affected by exploits and hacking activities in Jan. Quantstamp highlighted on its social media channel on X Source that bad actors using different attack methods saw them lose to more than $38.9 million from breaches like.

Radiant Capital faced $4.5 million in losses in early Jan due to a flash loan attack. Blockchain security firm PeckShield said the issue was caused by a known rounding problem in the current Compound/Aave codebase. Radiant halted its USD Coin $1.00 pool on Arbitrum to address the problem. It clarified user funds were secure, and operations resumed after an investigation.

Hours after the Radiant attack on Jan. 4, Gamma Strategies also faced a flash loan attack. This resulted from a code bug that enabled attackers to take $6.1 million from Gamma’s public-facing vaults. Gamma temporarily stopped deposits to fix the vulnerability.

Quantstamp Hit In Flash Loan Attacks

On Jan. 12, Wise Lending suffered a loss of at least $460,000 in another flash loan attack. The exploit manipulated the price oracle used by Wise Lending, marking the second attack on the protocol in six months. The Web3 lending app lost 170 Ether.

On Jan. 16, a security breach at Socket, a multichain protocol, was due to a vulnerability in user verification input. This allowed hackers to steal nearly 2,000 ETH, valued at over $4 million. However, Socket recovered 1,032 ETH and reimbursed affected users.

Goledo Finance faced an exploit similar to Gamma’s on Jan. 28, with a flash loan attack resulting in the theft of $1.7 million. Negotiations with the perpetrator are ongoing, and Goledo offered a reward for returning the funds. Local law enforcement was also briefed.

Goledo has outlined its process to compensate users for asset recovery. It provided a form for claims submissions.

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