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Beanstock Farms loses $182 million in cryptocurrency hack attack

A flash loan taking 13 seconds was all it took for the get-rich-fast scheme.

Beanstalk Farms was assaulted by a hack attack Sunday by exploiting its decentralized finance (DeFi) project.

Blockchain analytics company PeckShield noticed the attack that totaled $182 million. The attacker likely raked in about $80 million in profit after expenses.

Here is the tweet from @web3isgreat:

Decentralized finance bypasses banks and exchanges by using contracts on blockchains. A blockchain is an evolving list of records. Each block contains records of the previous block. Each contain information about the block previous to it, so the data in any given block cannot be altered retroactively without altering all subsequent blocks.

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Photo Credit: IMAGO / Panthermedia

Photo Credit: IMAGO / Panthermedia

DeFi platforms function by allowing loans from others as they guess future values on assets.

The vulnerability was exposed by taking advantage of Beanstalk’s majority governance system.

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