As per the latest reports, Rari Capital has reportedly fallen victim to one of the recent exploits in the cryptocurrency industry. Providing services in the decentralized finance (DeFi) industry, Rari Capital has ended up facing a huge loss because of the recent high-price exploit.
Rari Capital is popular in the decentralized finance (DeFi) industry for two major reasons. The first reason is that it helps create boutique-lending pools and the second reason is that it creates optimized yield vaults.
The firm confirmed the reports of an exploit that took on its platform on May 8, 2021, through Twitter. Rari Capital revealed that it is currently investigating the matter and will soon be sharing a detailed report around it with the public.
The whitehat hackers have also shared their views on the recent exploit that took place on Rari Capital. Emiliano Bonassi, a whitehat hacker stated as per him, it appears the hacker used “evil contract” in order to carry out the exploit.
Bonassi explained that the evil contracts are one of the worst attacks that a protocol can ever encounter. In the case of an evil contract, the hacker injects the protocol with an evil contract. However, the programming in the evil contract makes the protocol think that the contract must have access to the system.
By using the evil contract, the users gain permission to grant themselves several accesses in the process. This makes it very easy for the hackers to carry out further actions on the protocol and the exploit is one of the top actions.
Alpha Finance also shared its findings around the hack that took place on Rari Capital. It confirmed that the exploit that took place was linked to the interesting-bearing ibETH vault for Rari. Alpha Finance also revealed to the entire public that none of its assets/tokens were impacted due to the exploit.
The preliminary investigation on the matter has revealed that the hacker currently has 4,005 ETH stored in it. At the time of writing, the 4,005 ETH translates to around $15 million. The team has confirmed there are high possibilities that $4 million out of the total $15 million amount might be from a different exploit.
Just like many other hackers, the Rari Capital hacker also thought of sending the Rari Capital team a message. The sources reveal that initially, the hacker did send them a message but it was later deletred by the hacker.
However, the investigation team has been able to gain access to the message that the hacker was going to send to the Rari Capital. The message suggests that the hacker stated that further exploit was avoided by him due to the Alpha Homura team.
If it were not for the Alpha Homura team, the platform could have witnessed an additional exploit worth $6 million.