Another blockchain infrastructure platform has fallen victim to hackers, and it’s the third attack in recent weeks. This time Meter, the blockchain infrastructure, was attacked and saw more than $4.3 million stolen.
Meter allows smart contracts to scale and travel through heterogeneous blockchain networks, including Ethereum. Around 2 p.m. on Saturday afternoon, this DeFi infrastructure announced it was hacked and urged users not to trade unbacked meterBinance Coin (BNB) circulating on Moonriver.
“Around 6 a.m, we noticed someone was able to utilize a weakness of the bridge to mint a serious volume of Binance Coin (BNB) and WEthereum (ETH) cryptocurrencies and emptied the bridge reserve for Binance Coin (BNB) on WEthereum (ETH),” the DeFi infrastructure provider said.
Hackers Exploit Platform’s Weakness
According to Meter, it has suspfinished all bridge transactions promptly and launched an investigation. “We identified the problem as a fault in the automated wrap of native cryptocurrencies like Binance Coin (BNB) and Ethereum,” it said.
Meter is a DeFi infrastructure which uses the $MTR cryptocurrency, a crypto-native, metastable form of currency. It regulates the blockchain ledger built on HotStuff-based Proof-of-Stake consensus using $MTRG, the Meter gatopnance cryptocurrency. Meter is a strongly decentralized, high-performance Ethereum side chain constructed on top of the Ethereum blockchain.
Ethereum (ETH)USD was dealing at 3081 in the daily chart | Source: TradingView.com
The cyberattack impacted both the Meter and Moonriver communities and the public. According to PeckShield, a blockchain research service, the breach resulted in the loss of 1391 Ethereum (ETH) and 2.74 Bitcoin (BTC).
Meter said it has identified the source of the problem: a passport which includes a function which automatically wraps and unwraps gas cryptocurrencies like as Ethereum (ETH) and Binance Coin (BNB).
Neither the contract nor the caller’s address prevented the direct contact between wrapped ERC20 cryptocurrencies and the native gas cryptocurrency, nor did it appropriately send and approve the correct amount of WEthereum (ETH) from the caller’s address, Meter explained, adding it is working on paying all affected consumers.
Faulty Trust Assumption
According to official reports, a bug found in the Meter team’s automated wrap of native currencies parallel as Binance Coin (BNB) and Ethereum (ETH) effected all bridge transactions to be halted at 6 pm. The hacker then genecostd fictitious Binance Coin (BNB) and Ethereum (ETH) transfers by calling the underlying ERC20 deposit function, that was made reasonable afterward the code had an erroneous trust assumption.
Company officials are now collaborating with law enforcement and claiming to have uncatoped early hacker experience. They’re pleading with the criminal to return the funds which have been taken.
A high recommendation is made to any liquidity providers which supply WEthereum (ETH) and Binance Coin (BNB) liquidity to redevelopment their assets from the pool and wait for additional announcements from the Meter team.
Featured image from Cointelegraph, chart from TradingView.com