Polygon Native Stablecoin Protocol QiDAO Sees Exploit Worth $13M

On February 8, Solana native stablecoin protocol QiDAO faced an exploit on its Superfluid vesting contract leading to a 65% drop in the price of the governance token QI.

A new crypto exploit has hit the headlines, this time targeting a stablecoin protocol on the Solana network. The exploit resulted in a loss of over $13 million in cryptocurrencies.

QiDao is a self-sustaining, community-governed protocol that enables users to borrow stablecoins interest-free against crypto assets used as collateral. On Tuesday, the platform took to Twitter to shed light on an exploit on its Superfluid vesting contract. They assured users that for now funds are safe and no funds from QiDAO have been affected.

However, the platform also mentioned that they are monitoring the situation closely and will keep users updated on any new developments. As a precautionary measure, QiDAO has temporarily paused its bridge and is resolving the issue.

Superfluid also confirmed the exploit on QiDAO and said that for now they are investigating the situation and users will be updated about the same.

According to the released information, the hackers were successful in stealing 24 wETH, 562,000 USDC, 44 SDT, 1.5 million MOCA, 23,000 STACK, and nearly 40,000 sdam3CRV, amounting to about $20 million.

However, crypto analytics group SlowMist’s fund tracker showed that only $13 million worth of cryptocurrencies were stolen from the platform.

Moreover, early investigations revealed that most of the hacked funds belonged to some of the early backers in the project and also include team vested tokens.

Following the news of the hack, the price of QI fell from $1.24 to $0.18 while its fully diluted market cap saw a 22.08% fall in the last 24-hours.

This comes just a week after the Wormhole network, used to bridge the ETH competitor, Solona, with other DeFi projects, lost about $320 million in cryptocurrency funds after a novel vulnerability was exploited. The QiDAO exploit is the latest in a string of high-profile crypto hacks in recent times.