#bridge-exploit

➤ Alephium's Wormhole-fork bridge lost $815,000 due to a vulnerability in its off-chain backend, allowing forged messages to bypass its guardian quorum. ➤ The exploit involved guardians signing invalid data rather than a compromise of private keys, highlighting a software-layer flaw. ➤ The bridge has been shut down, and Alephium is working on a recovery and compensation plan for affected users.

➤ Alephium's $815K bridge exploit was caused by an off-chain backend vulnerability, not compromised guardian keys as initially suspected. ➤ The bridge has been shut down and the exploit path neutralized, with specific assets drained on Ethereum and BNB Chain. ➤ Alephium has pledged to compensate affected users and will provide a dedicated recovery process for ALPH locked in the bridge.

➤ MAPO token experienced a 96% crash due to an exploit on the Butter Network bridge, which allowed attackers to mint a quadrillion unauthorized tokens. ➤ The exploit drained approximately 52 ETH from Uniswap liquidity pools, and the attacker still holds a significant amount of the minted MAPO tokens, posing a continued threat. ➤ Map Protocol confirmed the issue stemmed from a Solidity contract vulnerability, not compromised keys, and has initiated a migration process while investigating the incident.

➤ DeFi United, led by Aave, has outlined a recovery strategy for KelpDAO's rsETH following a bridge exploit on April 18th. ➤ The plan involves replenishing the rsETH lockbox with ETH reserves and a strategic liquidation of affected lending positions to restore full backing. ➤ Markets remain suspended across multiple networks until the recovery procedures are successfully completed, with enhanced security measures to be implemented.

➤ Aave experienced a significant loss of $196 million due to an exploit on the Kelp DAO bridge, where a malicious actor used worthless rsETH as collateral to borrow WETH. ➤ The incident highlights the systemic risks associated with relying on third-party bridges and the potential for collateral devaluation, even with high Loan-to-Value ratios. ➤ Aave is now facing a decision on how to absorb the bad debt, with options including pro-rata haircuts for depositors, slashing of staked AAVE, or treasury reimbursement, while the market reacts emotionally to the 'hack' label.