The Blueberry DeFi protocol warned customers to take their money out when it froze up because of a security hole.
Following the discovery of a vulnerability, Blueberry, a DeFi lending and leveraging protocol, moved quickly to prevent possible harm. Users are strongly encouraged to withdraw their cash while the protocol takes action to resolve the issue.
The Blueberry Protocol Foundation revealed the discovery of an active vulnerability in their protocol on February 23. While the team worked on halting the protocol to avoid future misuse, they encouraged users to withdraw their money from Blueberry lending markets as a precautionary step.
The front end of the site went down shortly after the vulnerability was discovered, making it impossible for consumers to withdraw their funds. After becoming aware of these problems, Blueberry urged users who had direct contract interactions to go ahead and take their funds.
After around half an hour, Blueberry was able to halt the procedure and get its platform back to normal. The website and app are back up and running, so users can go back to their accounts. Blueberry put an end to the chaos by assuring customers in an update that their deposited funds were secure.
According to new information from Blueberry, a white hat user named c0ffeebabe.eth recovered 366 ETH and sent it back to the Blueberry wallet, which requires several signatures. The protocol team stressed that they had recovered most of the assets, and they were trying to get in touch with the validator who lost 91 ETH.
The attack attempt caused the Blueberry protocol’s Total Value Locked (TVL) to drop from $4.5 million to $3.15 million. The protocol is well-known for its decentralized lending market that enables leveraged borrowing. Users doubted the efficacy of the security protections used by the protocol, which was a fork of the Compound DeFi protocol.
Despite assertions of a security-first development methodology and risk mitigation, the event cast doubt on the dependability of Blueberry’s security safeguards. In the past, the protocol has touted independent assessments of token security in addition to audits conducted by Hacken and Sherlock.
Some are questioning the protocol’s openness and responsibility after a tweet advertising a recent “security review” vanished from Blueberry’s feed.
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