Bondly Finance, the decentralized e-commerce platform, has advised the DeFi community to stop trading after the platform had suffered an alleged exploit.
It has been reported that Bondly Finance has yet to provide details regarding the attack, aside from being compromised by an unknown party.
The company stated:
“Rest assure, we have already taken action and will be operating as usual as soon as possible.”
However, the Bondly token price tanked more than 60% within three hours after the attack. PeckShield, blockchain security, and data analytics company, explained the price drop with a 373 million token mint on the Ethereum blockchain.
The report said that the security firm also claims that the huge mint on Ethereum was performed by the owner’s address, essentially accusing Bondly of performing a rug pull. Founded by the former managing partner at Shuttle Capital, Brandon Smith, Bondly was launched on Polkadot in 2020 as a DeFi protocol to “offer an ecosystem of decentralized products that enable anyone to execute digital payments between peers.”
It has been analyzed that flash loan attacks, rug pulls or exploits are not uncommon in the DeFi ecosystem. PancakeBunny, a popular decentralized finance protocol built on Binance Smart Chain (BSC), was the subject of an exploit in May after a hacker made off with more than $200 million worth of crypto assets.
Thus, BSC-based DeFi exchange BurgerSwap was also exploited by hackers with about $7.2 million worth of crypto assets, including Burger tokens, Wrapped BNB (WBNB), and Tether (USDT) stolen from the platform.