{"id":86263,"date":"2023-11-19T04:30:04","date_gmt":"2023-11-19T09:30:04","guid":{"rendered":"https:\/\/ifintechworld.com\/markets\/crypto\/dydx-dex-and-yfi-token-hit-by-9-million-targeted-attack-heres-what-happened\/"},"modified":"2023-11-19T04:30:06","modified_gmt":"2023-11-19T09:30:06","slug":"dydx-dex-and-yfi-token-hit-by-9-million-targeted-attack-heres-what-happened","status":"publish","type":"post","link":"https:\/\/ifintechworld.com\/?p=86263","title":{"rendered":"dYdX DEX and YFI Token Hit by $9 Million Targeted Attack \u2013 Here\u2019s What Happened"},"content":{"rendered":"<div>\n<figure id=\"attachment_133267\" aria-describedby=\"caption-attachment-133267\" style=\"width: 640px\" class=\"wp-caption aligncenter\"><noscript><\/noscript><figcaption id=\"caption-attachment-133267\" class=\"wp-caption-text\">Image Source: Unsplash<\/figcaption><\/figure>\n<p><span data-preserver-spaces=\"true\">Decentralized exchange dYdX has used its insurance fund to cover losses amounting to $9 million resulting from a \u201ctargeted attack\u201d against the exchange.<\/span><\/p>\n<p><span data-preserver-spaces=\"true\">In a Saturday post on X (formerly Twitter), the dYdX team said that the v3 insurance fund was deployed \u201cto address gaps in the liquidation process within the YFI market.\u201d<\/span><\/p>\n<p><span data-preserver-spaces=\"true\">\u201cThe v3 insurance fund remains well funded with $13.5m in funds remaining. No user funds were affected and our team is working to investigate the event,\u201d they added.\u00a0<\/span><\/p>\n<blockquote class=\"twitter-tweet\" data-width=\"550\" data-dnt=\"true\">\n<p lang=\"en\" dir=\"ltr\">Last night about $9m from the dYdX v3 insurance fund were used to fill gaps on liquidations processed in the YFI market. The v3 insurance fund remains well funded with $13.5m in funds remaining<\/p>\n<p>No user funds were affected and our team is working to investigate the event<\/p>\n<p>\u2014 dYdX (@dYdX) <a rel=\"nofollow\" href=\"https:\/\/twitter.com\/dYdX\/status\/1725921897848914353?ref_src=twsrc%5Etfw\">November 18, 2023<\/a><\/p>\n<\/blockquote>\n<p><span data-preserver-spaces=\"true\">Likewise, dYdX founder Antonio Juliano confirmed the attack in a post on X, calling the event \u201cpretty clearly a targeted attack against dYdX.\u201d<\/span><\/p>\n<p><span data-preserver-spaces=\"true\">The Yearn.Finance (YFI) token witnessed a 43% drop on November 17th after experiencing a remarkable surge of over 170% in the preceding weeks.<\/span><\/p>\n<h2><span data-preserver-spaces=\"true\">How Did dydx Hackers Pull the Attack?<\/span><\/h2>\n<p><span class=\"replacer\"><\/span><br \/><span data-preserver-spaces=\"true\">The alleged attack specifically targeted long positions in YFI tokens on the exchange, resulting in the liquidation of positions worth nearly $38 million.\u00a0<\/span><\/p>\n<p><span data-preserver-spaces=\"true\">Juliano suspected that trading losses incurred by dYdX, along with the significant decline in YFI, were the result of market manipulation.\u00a0<\/span><\/p>\n<p><span data-preserver-spaces=\"true\">He further announced that a comprehensive review of risk parameters would be conducted, and appropriate modifications would be made to both v3 and potentially the dYdX Chain software if necessary.<\/span><\/p>\n<p><span data-preserver-spaces=\"true\">As a first step against a future incident, dYdX increased margin requirements for \u201cless liquid\u201d markets including EOS, RUNE, AAVE, and others.<\/span><\/p>\n<p><span data-preserver-spaces=\"true\">The profitable trade that triggered the attack wiped out over $300 million in market capitalization from the YFI token, raising suspicions within the community about a potential insider job in the YFI market.\u00a0<\/span><\/p>\n<p><span data-preserver-spaces=\"true\">Some users have claimed that 50% of the YFI token supply is held in 10 wallets controlled by developers.\u00a0<\/span><\/p>\n<p><span data-preserver-spaces=\"true\">However, data from Etherscan suggests that some of these holders are crypto exchange wallets rather than developer-controlled addresses.<\/span><\/p>\n<p><span data-preserver-spaces=\"true\">The dydx hack comes as hacks and scams continue to plague the crypto industry.<\/span><\/p>\n<p><span data-preserver-spaces=\"true\">According to a report by blockchain security platform Immunefi, there were 76 hacks on crypto and Web3 projects and firms in Q3 2023, a significant increase compared to the 30 hacks reported in the same period in 2022.<\/span><\/p>\n<p><span data-preserver-spaces=\"true\">In total, approximately $332 million has been lost to various exploits, hacks, and scams throughout September,\u00a0<\/span><span data-preserver-spaces=\"true\">marking a record-high month<\/span><span data-preserver-spaces=\"true\">\u00a0for crypto exploits.\u00a0<\/span><\/p>\n<p><span data-preserver-spaces=\"true\">Earlier this month, DeFi platform Raft\u00a0<\/span><span data-preserver-spaces=\"true\">also suffered<\/span><span data-preserver-spaces=\"true\">\u00a0a hack resulting in the loss of approximately $3.3 million in\u00a0<\/span><span data-preserver-spaces=\"true\">Ethereum ( ETH)<\/span><span data-preserver-spaces=\"true\">.<\/span><\/p>\n<p><span data-preserver-spaces=\"true\">Raft\u2019s hack marked the second major crypto exploit on the same day. Earlier, an attacker drained approximately $114 million in digital assets from the centralized exchange Poloniex.<\/span><\/p>\n<div class=\"newsletter home-newsletter single\">\n<div class=\"left-side\">\n<p>\n        <em><br \/>\n            Enter your email for our Free Daily Newsletter        <\/em>\n    <\/p>\n<p> A quick 3min read about today&#8217;s crypto news!<\/p>\n<p>    <span class=\"response-msg\" id=\"newsletter-response\"><\/span>\n<\/div>\n<\/p><\/div>\n<\/p><\/div>\n<p><script async src=\"\/\/platform.twitter.com\/widgets.js\" charset=\"utf-8\"><\/script><br \/>\n<br \/>Read the full article <a href=\"https:\/\/cryptonews.com\/news\/dydx-dex-and-yfi-token-hit-by-9-million-targeted-attack-heres-what-happened.htm\" target=\"_blank\" rel=\"noopener\">here<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"<p>Image Source: Unsplash Decentralized exchange dYdX has used its insurance fund to cover losses amounting to $9 million resulting from a \u201ctargeted attack\u201d against the exchange. In a Saturday post on X (formerly Twitter), the dYdX team said that the v3 insurance fund was deployed \u201cto address gaps in the liquidation process within the YFI [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":86264,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[243],"tags":[83],"class_list":["post-86263","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-crypto","tag-featured"],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v20.6 - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>dYdX DEX and YFI Token Hit by $9 Million Targeted Attack \u2013 Here\u2019s What Happened | iFintechWorld<\/title>\n<meta name=\"description\" content=\"Image Source: Unsplash Decentralized exchange dYdX has used its insurance fund to cover losses amounting to $9 million resulting from a \u201ctargeted attack\u201d\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/ifintechworld.com\/?p=86263\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"dYdX DEX and YFI Token Hit by $9 Million Targeted Attack \u2013 Here\u2019s What Happened | iFintechWorld\" \/>\n<meta property=\"og:description\" content=\"Image Source: Unsplash Decentralized exchange dYdX has used its insurance fund to cover losses amounting to $9 million resulting from a \u201ctargeted attack\u201d\" \/>\n<meta property=\"og:url\" content=\"https:\/\/ifintechworld.com\/?p=86263\" \/>\n<meta property=\"og:site_name\" content=\"iFintechWorld\" \/>\n<meta property=\"article:published_time\" content=\"2023-11-19T09:30:04+00:00\" \/>\n<meta property=\"article:modified_time\" content=\"2023-11-19T09:30:06+00:00\" \/>\n<meta property=\"og:image\" content=\"https:\/\/ifintechworld.com\/wp-content\/uploads\/2023\/11\/1700378973-alex-chumak-zguburggmdy-unsplash.jpg\" \/>\n\t<meta property=\"og:image:width\" content=\"1920\" \/>\n\t<meta property=\"og:image:height\" content=\"1147\" \/>\n\t<meta property=\"og:image:type\" content=\"image\/jpeg\" \/>\n<meta name=\"author\" content=\"News Room\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:label1\" content=\"Written by\" \/>\n\t<meta name=\"twitter:data1\" content=\"News Room\" \/>\n\t<meta name=\"twitter:label2\" content=\"Est. reading time\" \/>\n\t<meta name=\"twitter:data2\" content=\"2 minutes\" \/>\n<script type=\"application\/ld+json\" class=\"yoast-schema-graph\">{\"@context\":\"https:\/\/schema.org\",\"@graph\":[{\"@type\":\"Article\",\"@id\":\"https:\/\/ifintechworld.com\/?p=86263#article\",\"isPartOf\":{\"@id\":\"https:\/\/ifintechworld.com\/?p=86263\"},\"author\":{\"name\":\"News Room\",\"@id\":\"https:\/\/ifintechworld.com\/#\/schema\/person\/6224724fd4116361255b179dc5c70b61\"},\"headline\":\"dYdX DEX and YFI Token Hit by $9 Million Targeted Attack \u2013 Here\u2019s What Happened\",\"datePublished\":\"2023-11-19T09:30:04+00:00\",\"dateModified\":\"2023-11-19T09:30:06+00:00\",\"mainEntityOfPage\":{\"@id\":\"https:\/\/ifintechworld.com\/?p=86263\"},\"wordCount\":501,\"commentCount\":0,\"publisher\":{\"@id\":\"https:\/\/ifintechworld.com\/#organization\"},\"keywords\":[\"Featured\"],\"articleSection\":[\"Crypto\"],\"inLanguage\":\"en-US\",\"potentialAction\":[{\"@type\":\"CommentAction\",\"name\":\"Comment\",\"target\":[\"https:\/\/ifintechworld.com\/?p=86263#respond\"]}]},{\"@type\":\"WebPage\",\"@id\":\"https:\/\/ifintechworld.com\/?p=86263\",\"url\":\"https:\/\/ifintechworld.com\/?p=86263\",\"name\":\"dYdX DEX and YFI Token Hit by $9 Million Targeted Attack \u2013 Here\u2019s What Happened | iFintechWorld\",\"isPartOf\":{\"@id\":\"https:\/\/ifintechworld.com\/#website\"},\"datePublished\":\"2023-11-19T09:30:04+00:00\",\"dateModified\":\"2023-11-19T09:30:06+00:00\",\"description\":\"Image Source: Unsplash Decentralized exchange dYdX has used its insurance fund to cover losses amounting to $9 million resulting from a \u201ctargeted attack\u201d\",\"breadcrumb\":{\"@id\":\"https:\/\/ifintechworld.com\/?p=86263#breadcrumb\"},\"inLanguage\":\"en-US\",\"potentialAction\":[{\"@type\":\"ReadAction\",\"target\":[\"https:\/\/ifintechworld.com\/?p=86263\"]}]},{\"@type\":\"BreadcrumbList\",\"@id\":\"https:\/\/ifintechworld.com\/?p=86263#breadcrumb\",\"itemListElement\":[{\"@type\":\"ListItem\",\"position\":1,\"name\":\"Home\",\"item\":\"https:\/\/ifintechworld.com\/\"},{\"@type\":\"ListItem\",\"position\":2,\"name\":\"dYdX DEX and YFI Token Hit by $9 Million Targeted Attack \u2013 Here\u2019s What Happened\"}]},{\"@type\":\"WebSite\",\"@id\":\"https:\/\/ifintechworld.com\/#website\",\"url\":\"https:\/\/ifintechworld.com\/\",\"name\":\"Repay Down\",\"description\":\"Latest Personal Finance News, Tips and Updates\",\"publisher\":{\"@id\":\"https:\/\/ifintechworld.com\/#organization\"},\"potentialAction\":[{\"@type\":\"SearchAction\",\"target\":{\"@type\":\"EntryPoint\",\"urlTemplate\":\"https:\/\/ifintechworld.com\/?s={search_term_string}\"},\"query-input\":\"required name=search_term_string\"}],\"inLanguage\":\"en-US\"},{\"@type\":\"Organization\",\"@id\":\"https:\/\/ifintechworld.com\/#organization\",\"name\":\"Repay Down\",\"url\":\"https:\/\/ifintechworld.com\/\",\"logo\":{\"@type\":\"ImageObject\",\"inLanguage\":\"en-US\",\"@id\":\"https:\/\/ifintechworld.com\/#\/schema\/logo\/image\/\",\"url\":\"https:\/\/ifintechworld.com\/wp-content\/uploads\/2023\/04\/rep-logo-dark.png\",\"contentUrl\":\"https:\/\/ifintechworld.com\/wp-content\/uploads\/2023\/04\/rep-logo-dark.png\",\"width\":558,\"height\":90,\"caption\":\"Repay Down\"},\"image\":{\"@id\":\"https:\/\/ifintechworld.com\/#\/schema\/logo\/image\/\"}},{\"@type\":\"Person\",\"@id\":\"https:\/\/ifintechworld.com\/#\/schema\/person\/6224724fd4116361255b179dc5c70b61\",\"name\":\"News Room\",\"image\":{\"@type\":\"ImageObject\",\"inLanguage\":\"en-US\",\"@id\":\"https:\/\/ifintechworld.com\/#\/schema\/person\/image\/\",\"url\":\"https:\/\/ifintechworld.com\/wp-content\/uploads\/2023\/04\/avatar_user_1_1682606986-96x96.png\",\"contentUrl\":\"https:\/\/ifintechworld.com\/wp-content\/uploads\/2023\/04\/avatar_user_1_1682606986-96x96.png\",\"caption\":\"News Room\"},\"sameAs\":[\"https:\/\/ifintechworld.com\"],\"url\":\"https:\/\/ifintechworld.com\/?author=1\"}]}<\/script>\n<!-- \/ Yoast SEO plugin. -->","yoast_head_json":{"title":"dYdX DEX and YFI Token Hit by $9 Million Targeted Attack \u2013 Here\u2019s What Happened | iFintechWorld","description":"Image Source: Unsplash Decentralized exchange dYdX has used its insurance fund to cover losses amounting to $9 million resulting from a \u201ctargeted attack\u201d","robots":{"index":"index","follow":"follow","max-snippet":"max-snippet:-1","max-image-preview":"max-image-preview:large","max-video-preview":"max-video-preview:-1"},"canonical":"https:\/\/ifintechworld.com\/?p=86263","og_locale":"en_US","og_type":"article","og_title":"dYdX DEX and YFI Token Hit by $9 Million Targeted Attack \u2013 Here\u2019s What Happened | iFintechWorld","og_description":"Image Source: Unsplash Decentralized exchange dYdX has used its insurance fund to cover losses amounting to $9 million resulting from a \u201ctargeted attack\u201d","og_url":"https:\/\/ifintechworld.com\/?p=86263","og_site_name":"iFintechWorld","article_published_time":"2023-11-19T09:30:04+00:00","article_modified_time":"2023-11-19T09:30:06+00:00","og_image":[{"width":1920,"height":1147,"url":"https:\/\/ifintechworld.com\/wp-content\/uploads\/2023\/11\/1700378973-alex-chumak-zguburggmdy-unsplash.jpg","type":"image\/jpeg"}],"author":"News Room","twitter_card":"summary_large_image","twitter_misc":{"Written by":"News Room","Est. reading time":"2 minutes"},"schema":{"@context":"https:\/\/schema.org","@graph":[{"@type":"Article","@id":"https:\/\/ifintechworld.com\/?p=86263#article","isPartOf":{"@id":"https:\/\/ifintechworld.com\/?p=86263"},"author":{"name":"News Room","@id":"https:\/\/ifintechworld.com\/#\/schema\/person\/6224724fd4116361255b179dc5c70b61"},"headline":"dYdX DEX and YFI Token Hit by $9 Million Targeted Attack \u2013 Here\u2019s What Happened","datePublished":"2023-11-19T09:30:04+00:00","dateModified":"2023-11-19T09:30:06+00:00","mainEntityOfPage":{"@id":"https:\/\/ifintechworld.com\/?p=86263"},"wordCount":501,"commentCount":0,"publisher":{"@id":"https:\/\/ifintechworld.com\/#organization"},"keywords":["Featured"],"articleSection":["Crypto"],"inLanguage":"en-US","potentialAction":[{"@type":"CommentAction","name":"Comment","target":["https:\/\/ifintechworld.com\/?p=86263#respond"]}]},{"@type":"WebPage","@id":"https:\/\/ifintechworld.com\/?p=86263","url":"https:\/\/ifintechworld.com\/?p=86263","name":"dYdX DEX and YFI Token Hit by $9 Million Targeted Attack \u2013 Here\u2019s What Happened | iFintechWorld","isPartOf":{"@id":"https:\/\/ifintechworld.com\/#website"},"datePublished":"2023-11-19T09:30:04+00:00","dateModified":"2023-11-19T09:30:06+00:00","description":"Image Source: Unsplash Decentralized exchange dYdX has used its insurance fund to cover losses amounting to $9 million resulting from a \u201ctargeted attack\u201d","breadcrumb":{"@id":"https:\/\/ifintechworld.com\/?p=86263#breadcrumb"},"inLanguage":"en-US","potentialAction":[{"@type":"ReadAction","target":["https:\/\/ifintechworld.com\/?p=86263"]}]},{"@type":"BreadcrumbList","@id":"https:\/\/ifintechworld.com\/?p=86263#breadcrumb","itemListElement":[{"@type":"ListItem","position":1,"name":"Home","item":"https:\/\/ifintechworld.com\/"},{"@type":"ListItem","position":2,"name":"dYdX DEX and YFI Token Hit by $9 Million Targeted Attack \u2013 Here\u2019s What Happened"}]},{"@type":"WebSite","@id":"https:\/\/ifintechworld.com\/#website","url":"https:\/\/ifintechworld.com\/","name":"Repay Down","description":"Latest Personal Finance News, Tips and Updates","publisher":{"@id":"https:\/\/ifintechworld.com\/#organization"},"potentialAction":[{"@type":"SearchAction","target":{"@type":"EntryPoint","urlTemplate":"https:\/\/ifintechworld.com\/?s={search_term_string}"},"query-input":"required name=search_term_string"}],"inLanguage":"en-US"},{"@type":"Organization","@id":"https:\/\/ifintechworld.com\/#organization","name":"Repay Down","url":"https:\/\/ifintechworld.com\/","logo":{"@type":"ImageObject","inLanguage":"en-US","@id":"https:\/\/ifintechworld.com\/#\/schema\/logo\/image\/","url":"https:\/\/ifintechworld.com\/wp-content\/uploads\/2023\/04\/rep-logo-dark.png","contentUrl":"https:\/\/ifintechworld.com\/wp-content\/uploads\/2023\/04\/rep-logo-dark.png","width":558,"height":90,"caption":"Repay Down"},"image":{"@id":"https:\/\/ifintechworld.com\/#\/schema\/logo\/image\/"}},{"@type":"Person","@id":"https:\/\/ifintechworld.com\/#\/schema\/person\/6224724fd4116361255b179dc5c70b61","name":"News Room","image":{"@type":"ImageObject","inLanguage":"en-US","@id":"https:\/\/ifintechworld.com\/#\/schema\/person\/image\/","url":"https:\/\/ifintechworld.com\/wp-content\/uploads\/2023\/04\/avatar_user_1_1682606986-96x96.png","contentUrl":"https:\/\/ifintechworld.com\/wp-content\/uploads\/2023\/04\/avatar_user_1_1682606986-96x96.png","caption":"News Room"},"sameAs":["https:\/\/ifintechworld.com"],"url":"https:\/\/ifintechworld.com\/?author=1"}]}},"amp_enabled":true,"_links":{"self":[{"href":"https:\/\/ifintechworld.com\/index.php?rest_route=\/wp\/v2\/posts\/86263","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/ifintechworld.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/ifintechworld.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/ifintechworld.com\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/ifintechworld.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=86263"}],"version-history":[{"count":1,"href":"https:\/\/ifintechworld.com\/index.php?rest_route=\/wp\/v2\/posts\/86263\/revisions"}],"predecessor-version":[{"id":86265,"href":"https:\/\/ifintechworld.com\/index.php?rest_route=\/wp\/v2\/posts\/86263\/revisions\/86265"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/ifintechworld.com\/index.php?rest_route=\/wp\/v2\/media\/86264"}],"wp:attachment":[{"href":"https:\/\/ifintechworld.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=86263"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/ifintechworld.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=86263"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/ifintechworld.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=86263"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}