A hacker inflated TONIC ~100x in 20 minutes and used that “guarantee” to drain Tectonic on Cronos. Estimate: ~$75 million. The network completely stopped, and only ~$6M managed to leave for Ethereum.
It’s the same pattern as Mango Markets in 2022, except now it’s on an L1 tied to Crypto.com. The fact that it’s still so easy to manipulate a low-liquidity governance token should worry us more than it does.
How long are we going to keep allowing illiquid collateral to be the weak point of the entire system?
Source: The Block
It’s the same pattern as Mango Markets in 2022, except now it’s on an L1 tied to Crypto.com. The fact that it’s still so easy to manipulate a low-liquidity governance token should worry us more than it does.
How long are we going to keep allowing illiquid collateral to be the weak point of the entire system?
Source: The Block
