Cryptocurrency

"$26 million in 'unnecessary liquidations' hit Blast-based lender Pac Finance"

2024-04-12 [vendor] Pac Finance liquidations [chain] ethereum
Primary Source ↗
Blockchain(s) Ethereum

Incident Details

Pac Finance, a fork of the Aave lending protocol deployed on the Blast blockchain, surprised some of its users as an unannounced and unexpected code change lowered the liquidation threshold. Pac Finance said that they had asked an engineer to make changes to the smart contract, and that that person had unexpectedly decreased the threshold at which positions could be forcibly liquidated. This change resulted in $26 million being liquidated across the project.Pac Finance has said they are “actively developing a plan with [impacted users] to mitigate the issue.”

Technical Details

Initial Attack Vector
Software bug / unintentional loss
Vendor / Product
Pac Finance liquidations

Timeline

  1. 2024-04-12 Breach occurred
  2. 2024-04-12 Publicly disclosed