Mango Markets is a DeFi platform based on Solana. On this decentralized exchange (DEX), it is possible to trade, exchange and borrow cryptos. The DeFi platform allows cryptos to be traded on spot as well as with perpetual futures. It is considered fast and smooth with a plethora of features. Today, Mango Markets announced that it was the victim of a hack. Here is what happened.
$100 million loss
DeFi protocol Mango Markets lost $100 million in hack. The DeFi platform based on Solana announced the sad news today, on Twitter. She said: ” We will be disabling repositories on the front-end as a precaution, and we will keep you informed as the situation evolves. If you have any information, please contact [email protected] to discuss a bonus for returning funds“.
The DeFi protocol quickly urged its customers to stop making deposits. This, until the problem is solved. The company seems to be in talks with the pirates for the reimbursement of funds. The Decentralized Autonomous Organization (DAO) of Mango currently has as a priority to ensure the compensation of depositors of the DeFi protocol.
For Mango Markets, “the most constructive way to approach this situation is to continue to communicate with those responsible for the incident and those who control the funds withdrawn from the protocol, in an attempt to resolve the issues amicably“.
How Was the Crypto DEX Hack Orchestrated?
Blockchain audit website OtterSec provided details on how the Mango Markets attack was carried out. OtterSec explained that the hackers first manipulated DeFi platform collateral. This enabled them to obtain a plethora of loans from the Mango treasury, which resulted in the massive loss of funds.
The Head of Derivatives at Genesis Global Trading also gave details of the Mango hack. Joshua Lim explained that officials started by funding “account A (CQvKS…) with a USDC guarantee“. Then they looked at the order book using MNGO-PERPs.
Then he “funded account B (4ND8F…) with a USDC guaranteeto buy units of MNGO-PERP at $0.0382 per unit. He made several moves afterwards, to borrow $116 million on all of thetokens.
According to Joshua Lim, the hackers would have “sucked up all available cash on Mango“. Note that at the latest news, Mango Markets has not yet managed to recover the funds stolen.
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