Yearn Finance has suffered an exploit in one of its DAI loan pools, according to the official Decentral Finance (DeFi) protocol Twitter account.
The dollar value of the exploit is still unknown, although Yearn Finance shows percentage losses for the vault in the three-digit range.
According to an Ethereum address believed to be linked to the exploit, an Aave flash loan was used to trigger the emptying of the vault.
Users on the Yearn Discord and Telegram channels reported outflows. At 4:38 pm ET on the Yearn Discord server, Jeffrey Bongos wrote, “Does anyone know why v1Dai vault shows I’ve lost thousands of Dai in the past few minutes?”
Shortly after 5 p.m. ET, the v1 safes front end on the Yearn website showed a 1059% loss.
At 5:14 p.m. ET, banteg from the Yearn team wrote in Discord: “The attacker got away 2.8m, dai vault lost 11.1m.”
Yearn’s YFI governance token saw its price drop $ 4,000 on the news. Shortly after the attack became public, UniWhales’ Twitter account reported a major sale by YFI for ETH:
This is a developing story and will be updated.