Decentralized finance protocol UwU Lend has suffered another exploit from the same attacker, costing it $3.7 million in stolen funds. This incident comes just two days after the protocol lost $20 million in a similar attack.
The hacker drained liquidity from pools including uDAI, uWETH, uLUSD, uFRAX, uCRVUSD, and uUSDT, converting all stolen assets to ETH. The attacker used funds from the first hack for this new attack, according to Cyvers Alerts and user @CryptoEvgen. The cause of the latest incident is still unclear, and UwU Lend has yet to make a public statement.
Founded by Michael Patryn, also known as Omar Dhanani or “0xSifu,” UwU Lend is based on the open-source AAVE v2 code and offers lending, borrowing, and staking services. The platform shares revenues with users through its native token, UwU.
This series of hacks highlights the vulnerabilities in decentralized finance protocols and underscores the need for enhanced security measures. The broader implications stress the importance of robust security frameworks in maintaining user trust and safeguarding digital assets.
