ChainBleedv0.1 · open intel
← back to feed·ETHFLASHLOAN2021-09-15 · 4y ago
Incident · SLOWMIST

Nowswap

K value verification vulnerability
Estimated loss
$1.00M
VERDICT —UNRATED
Verdict pending. Auto-ingested incidents are reviewed before a public verdict is rendered.
▰ METHOD
FLASHLOAN
FLASHLOANBYTECODE CATCHABLEAI SCANNABLE
Root cause

Root-cause analysis not yet published. The incident description below contains all currently available signal — review the attack transaction directly for definitive forensics.

▰ PROOF OF CONCEPT
DEFIHACKLABS
src/test/2021-09/NowSwap_exp.sol
view forked test on github ↗

Reproducible Foundry test fork from SunWeb3Sec/DeFiHackLabs. Clone the repo, run forge test against the file path above, and replay the exploit against a mainnet fork at the historical block. Use for reproduction only — not for live targets.

Forensic narrative

Nowswap, a decentralized exchange on Ethereum, was attacked by a flash loan. The attacker emptied Nowswap’s liquidity pool. The liquidity pool was reduced from US$1,069,197 to US$24.15. The attacker made a profit of 536,000 USDT and 158 WETH. A total of more than 1 million US dollars. The attacker used the K value verification vulnerability in the Nowswap USDT/WETH transaction pair contract to perform multiple exchanges, and each exchange obtained multiple times the normal due assets, until the assets in the trading pair pool were exhausted. Attack method (per SlowMist): K value verification vulnerability. Reported loss: $ 1,000,000.

Primary source
https://twitter.com/PuPuThrashing/status/1438058002817323009
Sourced from
slowmist
Technical record
chain
ethereum
protocol
Nowswap
bug_class
flashloan
date_occurred
2021-09-15
loss_usd
$1,000,000
source_id
sm:nowswap::2021-09-15
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