How much was lost in the LGT hack?

The LGT hack resulted in $35K in losses on October 12, 2022.

What attack technique was used in the LGT exploit?

The LGT exploit utilized Rugpull. Understanding this attack vector is critical for smart contract auditors and developers building secure DeFi protocols.

How can developers prevent similar smart contract attacks?

Preventing smart contract hacks requires a combination of secure coding practices, thorough security audits, and understanding common attack vectors like reentrancy, oracle manipulation, and access control flaws. Smart Contract Hacking (SCH) provides hands-on training to help developers and auditors identify and prevent vulnerabilities before deployment.

LGT Hack

TOTAL LOST $35K

Low Oct 12, 2022 Rugpull

Affected Chain 2022 Incident surface

Recovered - No recovery reported

All-Time Rank #1795 By amount stolen

Protocol Type Exit Scam/Rugpull Target category

Incident Overview

Quick Summary

LGT project was rugpulled for 35,320 $USD. An EOA address drained liquidity from the pool using $LGT tokens received from the initial token holder.

Details of the Exploit

LGT is a BEP20 token trading on PancakeSwap. The initial token holder sent 500,000,000 $LGT tokens to an EOA address, which drained liquidity from the Pancake pool for 35,320 $USD. The funds were transferred to another EOA address after an incident.

Block Data Reference

Scammer address:

https://bscscan.com/address/0xe36f1501…be2ef9

Token holder:

https://bscscan.com/address/0xf975b22d…eede0d

Transfer token transaction:

https://bscscan.com/tx/0x63bb6386…2cf3d5

Liquidity drain transactions:

https://bscscan.com/token/0x55d39832…197955?a=0xe36f1501…be2ef9

Incident Report

Protocol / Project LGT

Date of Incident October 12, 2022

Attack Technique Rugpull

Classification Token

Primary Source View Post-Mortem

Protocol Information

Protocol Type Exit Scam/Rugpull

Affected Token LGT

Team Anonymous

Source Code Verified On-Chain

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.

Technical Knowledge Deep understanding of rugpull and Solidity and EVM internals

Capital Required Seed capital to cover gas and initial position setup

On-Chain Access Ability to interact with smart contracts and deploy a custom exploit contract

Protocol Analysis Identification of the exploitable vulnerability in LGT's contract logic - root cause: token

Execution Speed Precise transaction ordering and timing to exploit the vulnerability within a single atomic block

Obfuscation Plan A strategy to launder and move stolen funds - typically through mixers, cross-chain bridges, or decentralized DEX swaps to resist tracing

What Auditors Should Check

Could this have been caught in audit? Hard to catch — private key / OpSec failures are outside smart contract audit scope

If you're auditing a protocol with similar architecture to LGT, these are the critical security checks that could have prevented this incident (October 2022).

Verify all logic paths related to Rugpull are guarded by proper access controls and input validation
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.

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Sources & References

01
Source 1 https://twitter.com/CertiKAlert/status/1580310351886704641

Threat Assessment

Severity Level

LOW

Attack Vector Rugpull
Root Cause Token
Year 2022

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