DeFi (Decentralized Finance) is or will be one of the most discussed topics for 2020. This refers to the development of applications from the classic financial sector, such as lending, sending and investing money, with the difference that these are to be decentralized. Just how great the need for this is, it is shown by the fact that billions of people worldwide do not have access to a functioning financial system, but would urgently need one.
Banks as intermediaries could also be eliminated. That is why some people assume that DeFi “could be the next big thing.” However, despite this euphoria, one has to admit that this trend is still in its infancy and a lot of development work is still needed. That is also shown by the recent hack of the DeFi application “Lendf” from dForce, when $25 million in Ethereum and Bitcoin were stolen.
Born2Invest mobile application is bringing all the crypto and financial news from trusted sources to a single screen so you can stay on top of the market. The application is aggregating the most important and breaking news from relevant websites, the list is always revised and updated with new resources.
Ethereum DeFi Hack makes $25 million disappear
Lendf.me is one of two protocols developed by the dForce Foundation. According to the Twitter page of Lendf, it is “by far the largest fiat-backed Stablecoin DeFi rental protocol.” According to DeFi Pulse, the Ethereum DeFi heavyweight was hacked last Saturday night. The protocol lost 99% of its deposits when $25 million in ethereum and Bitcoin were stolen from its wallets.
“Lendf.me confirmed that it was attacked at block level 9899681 on Sunday at 8:45 Beijing time,” Lendf.me told Chinese media company Chain News.
Other developers of DeFi protocols speculated that the attack was caused by “imBTC”. This is an Ethereum Token, which is coupled 1:1 to Bitcoin. This was used as security and could have been proven fraudulent, allowing the attacker to withdraw funds almost…