Decentralized Credit-based stablecoin platform Beanstalk Farms has suffered $182 million in losses following a hack that caused BEAN tokens to plunge 83% to $0.17.
The security violation was caused by suspicious governance proposals BIP-18 and BIP-19 issued on April 16, purporting to raise funds from the victims of Russian aggression.
The hack happened at 0024 Hours UTC, and the bad actors took $1 billion in flash loans from AAVE protocol in DAI, USDC, and Tether. The funds were then used to take 67% of the platform’s governance rights, subsequently passing their proposals.
The hackers swapped BEAN for ETH and transferred them to Tornado Cash to conceal the traces. 250,000 USDC were also sent to the Ukraine Crypto Donation wallet.
Smart contract auditor BlackSec says that the proposals were linked to a malicious rider that created the sinkhole of funds from the protocol.
Beanstalk Farms is a decentralized algorithmically managed stablecoins platform based on Ethereum. The flash loans issued on the platform are executed and repaid in a single block.