$3 million was stolen from Orion Protocol through hacking

Orion Protocol was the victim of a significant security breach resulting in the loss of $3 million in project assets.

On Thursday, Orion Protocol, a lesser-known decentralised trading platform, experienced a significant security breach.

An attacker stole $3 million worth of project assets secured by smart contracts on Ethereum and BNB Chain.

PeckShield, a security company, discovered that the attack was executed via reentrancy. A smart contract is susceptible to reentrancy vulnerabilities when an attacker repeatedly invokes a function and pulls assets from it before the contract can change its internal state. The vulnerability may be caused by a flaw in the smart contract or inadequate security measures.

The Orion Protocol team recognized the intrusion and suspended the deposit function briefly. Alexey Koloskov, the CEO of Orion Protocol, said that no customer cash was lost; only business funds were stolen. “We wish to reassure our users that nobody suffered a loss as a result of this occurrence.”

Koloskov stated that the vulnerability may have been developed as a result of the development team’s use of third-party software libraries while writing smart contracts. Koloskov noted that going forward, the company would exclusively depend on in-house developers to create its contracts.

Also Read: MicroStrategy Stock Jumps By 100 Percent In 2023 When The Company Purchases 8,800 BTC