Mango Markets, a Solana-based decentralized finance (DeFi) market, has been attacked with a claimed $100 million exploit caused by an attacker manipulating price oracle data, allowing them to wipe out under-collateralized crypto loans.
Soon after, the Mango Markets team issued a warning to users not to deposit funds until “the situation was more clear,” and they invited the attacker to contact them to negotiate a bug bounty.
OtterSec alerts Mango Markets over new exploit
The hack was discovered by blockchain security firm OtterSec, who tweeted that the exchange had been drained of more than $100 million as a result of the attacker manipulating the value of their Mango (MNGO) native token collateral and then taking out “massive loans” from Mango’s treasury.
Later, the team acknowledged that their MNGO token’s price oracle had been manipulated. They also said they had disabled deposits until they looked into the matter further.
Losses lead to fear
Mango reported that it is “taking steps to have third parties freeze funds in flight” after more than $14.7 million worth of MNGO was withdrawn.
The exploiters’ platform account shows that the three highest withdrawals were for $50 million in USD Coin, over $26.7 million in a Solana staking coin dubbed Marinade Staked SOL, and approximately $24 million in SOL.
According to CoinGecko data, the price of the platforms’ MNGO token has dropped by about 52% in the previous 24 hours as a result of the announcement of the exploit.