DEUS Finance Suffers $6 Million Loss in Stablecoin Hack Attack

On May 8, 2023, it was reported that DEUS Finance, a DeFi protocol, was hacked over the weekend, resulting in a loss of more than $6 million.

The hacker exploited a vulnerability in DEUS Finance’s own stablecoin DEI on the BNB Smart Chain and Arbitrum networks.

PeckShield, a blockchain security firm, reported that the attack on BNB Smart Chain resulted in a loss of over $1.3 million, while the attack on Arbitrum resulted in a loss of over $5 million.

Recovery efforts have been made, with some of the lost funds being recovered through white hat hacking techniques and being sent to a multi-signature wallet managed by DeFi developer @lafachief and “trusted members” of the Yearn Finance DeFi project.

At the time of writing, the wallet holds 2,023 ETH tokens worth some $3.8 million, $158,857 worth of DEUS tokens, and $702,370 worth of the stablecoin USDC. It is still unclear whether the remaining missing funds will be recovered, and if affected users will be compensated.