curvance

The young Monad ecosystem just had its first real test: an attacker hacked the BTCFi protocol Echo, minting 1000 phantom eBTC worth $76.7 million and crashing the native token ECHO by 11%. Interestingly, the hacker couldn't pull out all that painted mass due to a lack of liquidity, so they only used 45 eBTC as a trash collateral in Curvance to borrow a real 11.29 WBTC ($867,000) and classic laundered it through Tornado Cash on Ethereum.

The exploit didn't impact the Monad network itself, but it's a harsh reminder for the market: aggressive liquidity farming in immature L1 networks always carries the risk of smart contract vulnerabilities, which is why Curvance has already frozen the eBTC markets to avoid cascading liquidations.

​#EchoProtocol #Monad #DeFiHack #Curvance #eBTC