About 55.2 million KAVA was drained in an attack on Kava Lend, while the token lost 39% of its value over the past 24 hours and Kava’s partner exchanges halted deposits and withdrawals.
According to on-chain data reviewed by The Block, the withdrawn tokens were worth about $3.76 million at pre-attack prices. The attacker exploited a vulnerability that caused the protocol to miscalculate collateral value, draining nearly all the KAVA in Kava Lend’s shared deposit account.
Kava: Attack limited to lending protocol
Following the incident that had previously prompted a security warning from Upbit, the Kava team said the attack was limited to Kava Lend and that no new tokens had been minted. According to The Block, the attacker sold most of the tokens moved off the network for BNB and USDT worth about $2.09 million.
KAVA was trading at around $0.042 at the time of publication. The Kava team said partner exchanges had suspended transfers as a precaution. The team has not yet announced an official figure for the total losses and said it would publish its investigation report once it is complete.
Not investment advice.