Velocore's official announcements or blockchain analysis reports

Velocore on zkSync and Linea Hacked, Loses $6.8M to $10M

Jun 2, 2024, 06:08 PM

Decentralized exchange Velocore, operating on the zkSync and Linea blockchains, has suffered a significant security breach resulting in losses of approximately $6.8 million to $10 million. The hack, which occurred on June 2, involved the exploitation of vulnerabilities within the Balancer-style CPMM pool contract. Hackers transferred part of the stolen funds, including 1,807 $ETH and 700 ETH, to the Ethereum mainnet. In response to the attack, Linea paused block production for around an hour to prevent additional funds from being bridged out but has since resumed operations. Velocore has identified the exploit mechanism and is setting up an on-chain negotiation process while preparing a post-mortem report. The exchange has also offered a bounty to the hacker. The attacker address has been identified as 0x8CDc37eD79C5EF116b9Dc2A53Cb86ACaca3716bF. The incident has prompted scrutiny of Linea's decision to halt block production, with the network reaffirming its commitment to decentralization.