Mango Markets, a Solana DeFi platform, has lost $100 million, and the token has dropped 52%

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Last Updated on October 12, 2022 by Bitfinsider

An attacker manipulated price oracle data in order to steal over $100 million from the decentralized finance (DeFi) exchange Mango Markets, which is located in Solana. This gave the attacker the opportunity to obtain under-collateralized cryptocurrency loans. Mango Markets was hit with the exploit.

The blockchain security firm OtterSec was the first to discover the exploit. They tweeted that the exchange had lost more than $100 million due to an attacker manipulating the value of their Mango (MNGO) native token collateral and then taking out “massive loans” from Mango’s treasury.

Soon after, the team behind Mango Markets tweeted a warning to customers not to deposit funds until “the situation was more clear.” They also requested that the hacker get in touch with them to discuss a potential bug bounty.

After further investigation, the team stated that it had disabled deposits while it continued to investigate the incident and later confirmed that a price oracle had been manipulated. A price oracle is a data feed that displays the current value of the MNGO token.

According to data provided by CoinGecko, the price of the MNGO token, which is used on the platforms, has decreased by approximately 52 percent in the last twenty-four hours as a direct result of the news of the exploit.

The data from the exploiters’ account on the platform reveals that the three largest withdrawals, totaling fifty million dollars’ worth of USD Coin, were made.

MNGO worth more than $14.7 million was taken out of circulation, and Mango stated that it is “taking steps to have third parties freeze funds in flight.”

According to blockchain security company Beosin, the QANplatform blockchain also experienced an exploit of its own on October 11. This exploit resulted in approximately $1.89 million worth of the QANX token, which is the platform’s native cryptocurrency, being drained from its Ethereum bridge. QANplatform has stated that it is conducting an investigation into the incident.

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