Linear Finance Hack

Linear Finance exploited on Sep 21, 2023, draining lUSD liquidity on PancakeSwap and AscendEX, with losses exceeding 211,726 USD (1,000 BNB).

Linear Finance, a non-custodial, cross-chain compatible, delta-one asset protocol, was exploited on Sep 21, 2023. The attacker minted an unlimited supply of LAAVE, traded it for LUSD on the Linear Exchange, and sold the tokens on PancakeSwap and Ascendex decentralized exchanges. As a result, all lUSD liquidity was drained on both platforms.

The LUSD value collapsed to zero when its liquidity pools were drained. Despite the attack, the protocol's LINA token appears to be unaffected, trading flat at $0.011 at the time of writing. All smart contracts and bridges on the protocol have been halted by the team.

The stolen funds were transferred to another EOA and then deposited into TornadoCash. The exact loss amount is not known, but the confirmed loss is more than 1,000 BNB (211,726 USD) as of Sep 26, 2023.

Attacker Addresses:

https://bscscan.com/address/0xAC70Eba7…417Fc2

https://bscscan.com/address/0x8D7755e2…956fc0

https://bscscan.com/address/0xb3E11885…acF7E1

https://bscscan.com/address/0x047a83F8…07660a

Malicious Transaction Example:

https://bscscan.com/tx/0x6558c6c4…e00fb5

TornadoCash Deposit Transactions:

https://bscscan.com/tx/0x5c53e93b…101122

https://bscscan.com/tx/0x2e4de99c…198d5a

AscendEX Deposit Transaction:

https://bscscan.com/tx/0xeb5d1a2c…59b28c