Defi Lending Protocol Cream Finance Suffers Flash Loan Attack, Loses $130 Million

Cream Finance Defi Lending Protocol Faces Attack for the Third Time

As revealed, the flash loan attack event included 68 different crypto assets, which cost around 9 ETH in gas, and the attacker, at present, is holding $92million worth of various tokens on its contract, while $22 million is held by the address of the contract creator.

PeckShield, a blockchain security firm was the first one to reveal the attack as it highlighted the data obtained from Etherscan, which showed $132 million was stolen from the C.R.E.A.M. v1 marketplace on the Ethereum Blockchain.

This has been undoubtedly the biggest attack and is the third-largest hack in the history of Defi.

Although the firm states that around $40 million of the stolen funds were in the ETH 2.0 custodial staking service of Cream Finance, which could be recovered, they are investigating the exploit further and will be sharing updates soon. 

Cream Finance Token Reacts Negatively

As a result of the hack, Cream Finance token has suffered a massive drop of more than 34% since the execution of the attack, recording a swing low at $97.80.

In addition to this, it should be noted that there are chances that the price of the token may fall further below as the investors are definitely losing interest in the crypto asset.

The market analysts believe that the price of the asset might fall toward the demand zone that ranges from the May 20 low at $90.80 to the April 23 low at $82.95.