Blockchain security firm Slow Mist reported that hackers are using vulnerabilities in the Lido DAO (LDO) contract for market manipulation. This vulnerability allows attackers to create fake altcoin deposits.
Lido DAO vulnerable to “fake deposit” attacks
According to the blockchain security firm, there are vulnerabilities in Lido’s (LDO) token contract that are being used for “fake deposit” attacks on exchanges. This vulnerability allows the user to conduct a transfer transaction in an amount exceeding their actual assets. In other words, it allows those who want to deposit more altcoins than what is in the contract. Slow Mist warns the community about projects that meet these standards:
Note that there are many token contracts on the market that do not comply with the ERC20 standard. Before integrating new tokens, ensure contract codes are thoroughly understood and analyzed to ensure correct deposit logic. Conduct regular code audits and security checks to ensure the health and safety of the system.
As a result, token contract practices and behaviors may differ from project to project. To preserve funds and transaction integrity, it is recommended to have a deep understanding of the contract logic and conduct extensive testing before integrating new tokens.
In conclusion, token contract implementations and behaviors may vary from project to project. To safeguard funds and transaction accuracy, it's recommended to have a deep understanding of the contract logic and conduct comprehensive testing before integrating any new tokens.
— SlowMist (@SlowMist_Team) September 10, 2023
cryptocoin.com X account of Ethereum founder Vitalik Buterin was hacked. This event cost the crypto community millions of dollars in investment.
