Incident Overview
On an unspecified date, the CUT token was exploited using a flash loan attack, resulting in a loss of approximately $1.4 million through manipulation of the BUSD-CUT PancakeSwap pair on the Binance Smart Chain.
The attacker exploited hidden functionality within the unverified contract ILPFutureYieldContract at address 0x0917914b…E31154. By manipulating this contract, the attacker used flash loans to exploit the BUSD-CUT trading pair on PancakeSwap. The malicious contract allowed them to manipulate the yield mechanism of the CUT token, enabling the unauthorized gain of roughly $1.4 million.
The exploited pair 0x83681F67…eD3249 was specifically targeted for the attack and should not be confused with a separate client using the same CUT ticker.
Exploiter:
https://bscscan.com/address/0x5766d1f03378f50c7c981c014ed5e5a8124f3
Incident Report
Protocol Information
Market Context at Time of Hack
What the Attacker Needed to Succeed
Understanding the prerequisites for this type of attack helps auditors identify protocols that are most at risk and helps developers build better defenses.
What Auditors Should Check
If you're auditing a protocol with similar architecture to CUT token, these are the critical security checks that could have prevented this incident (September 2024).
- Verify all logic paths related to Flash Loan Attack are guarded by proper access controls and input validation - see the Flash Loans Attacks attack class for patterns
- Review privileged functions (owner, admin, governance) for potential abuse vectors - centralization risks should be documented and bounded with timelocks or multi-sigs
Master these auditing techniques with hands-on labs and real exploit scenarios in the Smart Contract Hacking course.
Free TrialRelated Attack Classes
The technique used in this hack maps to these vulnerability classes in our security curriculum:
Sources & References
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