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Coinbase’s L2 Chain Base Attacked, About $1 Million Lost

 
Ritu Lavania
Written By 
Ritu Lavania
October 25, 2024
Coinbase's L2 Chain Base Suffered From Price Manipulation Attack

Crypto platform Coinbase’s Layer 2 network ‘Base’ chain has suffered a massive price manipulation breach after an unverified loan contract was attacked, causing a loss of $1 Million.

In the early hours of today, CertiK Alert monitoring informed users on X that the price manipulation attack on the Base chain affected the unverified loan contract starting with address 0x5c52.

According to CertiK’s post on X, “The exploiter manipulated the price of WETH and Sui and gained ~$1M tokens by excessive borrowing.”

CertiK says Base Suffered From Price Manipulation Attack, Losing About $1 Million
Courtesy: Certik X account

 

The crypto monitoring platform also informed that the oracle used in lending contract verification, 0xc112e41c..42e7e0c relies on a single pair since deployment 6 days ago and only possesses ~$400K liquidity.

This is the second consecutive contract manipulation incident reported by the platform in two days. On October 24,  several suspicious transactions on Polygon affecting unverified NAS contract 0x5d6084Bf..F36Ac7 were detected. As a result, the attacker got hold of a large amount of NAS tokens and then swapped them for USDT.

There have been no comments from Base on this matter, as of yet. The platform had recently announced the launch of its permissionless Fault Proofs on October 30, which is aimed at providing a more secure environment by eliminating trusted third parties. The new upgrade will also allow users to monitor and challenge invalid withdrawals.

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Ritu Lavania
Written by Ritu Lavania

Ritu Lavania is a versatile Web3 content creator with over three years of experience in the crypto space. She is part of the team at CryptoNewsZ, where she writes insightful and engaging content. She has also contributed to TheCryptoTimes and The Coin Edition, where her work has been well received by the crypto community. Skilled in research, creative writing, SEO, and cross-functional collaboration, she creates content tailored to diverse audiences. Passionate about education, she dedicates time to teaching kids and expressing herself through poetry. Always eager to learn, she continuously explores new trends in blockchain and digital assets. She believes in the power of storytelling to make complex crypto topics more accessible and engaging for readers worldwide.