Radiant Capital Hit by $50M Exploit Across BNB Chain and Arbitrum in Second Major Attack

The U.S. Securities and Exchange Commission (SEC) has filed an appeal against a recent court ruling in favor of Ripple Labs, as reported by The Block.

DeFi platform Radiant Capital has been hit by a major exploit, resulting in losses of over $50 million across Binance's BNB Chain and Ethereum's layer-2 Arbitrum network, as reported by DeFi Pulse. This marks Radiant's second significant attack this year, highlighting the ongoing security vulnerabilities in the decentralized finance space.

The exploit began around 3:00 PM ET on Tuesday, targeting Radiant's credit and lending protocol on Arbitrum. The attacker, who appears to be the same from a previous exploit in January, manipulated the protocol's price feed for a token called MCash to inflate its value.

This manipulation enabled the attacker to borrow an excessive amount of MCash and subsequently sell it in the open market, causing a rapid decline in its price. As the token's value depreciated, it triggered liquidations on borrowed ETH, which the attacker was able to collect at discounted rates.

The exploit unfolded quickly, with the attacker's wallet visibly accumulating MCash and pivoting through various tokens to amplify their gains. The rapid transactions and large sums involved in the exploit are evident in blockchain analytics.

The exploit on Radiant follows a previous incident in January, where hackers stole over $32 million in crypto from the platform's BNB Chain deployment. In response to the exploit, Radiant's team is currently working to pause the protocol and mitigate further damage.

The exploit on Radiant Capital is the latest in a series of cyberattacks to hit DeFi protocols in recent months. These attacks have become increasingly sophisticated and targeted, highlighting the need for robust security measures to protect the rapidly growing DeFi ecosystem.

This article is part of a series of articles on the latest news and trends in the DeFi and crypto space. Stay tuned for more updates and analysis.