PeckShield says hackers minted unlimited yETH, drained a custom stETH/rETH pool, and laundered over $3 million in ETH through Tornado Cash.PeckShield says hackers minted unlimited yETH, drained a custom stETH/rETH pool, and laundered over $3 million in ETH through Tornado Cash.

Yearn Finance Loses $9M in Single-Transaction Exploit of yETH Vault

2025/12/01 18:34

Yearn Finance has suffered a major security breach, resulting in the loss of approximately $9 million.

The exploit targeted a legacy stable swap pool associated with the protocol’s yETH token that allowed the hackers to mint an infinite number of coins.

Flaw in the yETH Contract

Blockchain security firm Peckshield was the first to flag the incident via X, stating, “Yearn Finance suffered an attack resulting in a total loss of ~$9M.”

According to the analysts, the attacker abused a critical vulnerability in the yETH token contract that let them mint fresh yETH without posting adequate collateral, effectively inflating the token supply at will. This loophole was then used to drain liquidity from a pool outside of Yearn’s core vault products.

Targeted in the exploit was a custom-built contract designed to aggregate staked Ethereum derivatives such as stETH and rETH. The protocol later shared that the yUSND pool and Nerite’s vaults remained secure and were not impacted by the protocol failure. Following the attack, those responsible then laundered over $3 million in stolen ETH through Tornado Cash. Meanwhile, the remaining $6 million in various staked Ethereum assets remain in their wallet address (0xa80d…c822) as of the latest blockchain scans.

Yearn also confirmed the compromise on X. It reported that $0.9 million was lost from the yETH-WETH stableswap pool on Curve, while an additional $8 million was drained from the affected pool. Impacted users were also advised to open a support ticket on the project’s Discord.

Early Investigation Findings

The platform announced that it has assembled a war room, comprising SEAL911 and its audit partner, Chain Security, with a full postmortem investigation underway.

Early findings suggest that the incident shares a similar level of technical complexity with the recent Balancer hack. That unauthorized access resulted in more than $120 million being stolen across the platform’s main protocol and several forks.

On-chain analysts traced the Balancer event to a precision-loss bug in the integer fixed-point arithmetic used to calculate scaling factors within Composable Stable Pools, which are optimized for near-parity asset pairs like USDC/USDT or WETH/stETH.

SlowMist later shared that the flaw led to subtle but repeated price discrepancies during swaps, particularly when attackers executed multiple operations within a single transaction using the batch swap function.

Meanwhile, Yearn’s incident follows shortly after Korean exchange Upbit suffered its own security lapse, which resulted in the loss of $50 million in Ethereum.

The post Yearn Finance Loses $9M in Single-Transaction Exploit of yETH Vault appeared first on CryptoPotato.

Disclaimer: The articles reposted on this site are sourced from public platforms and are provided for informational purposes only. They do not necessarily reflect the views of MEXC. All rights remain with the original authors. If you believe any content infringes on third-party rights, please contact [email protected] for removal. MEXC makes no guarantees regarding the accuracy, completeness, or timeliness of the content and is not responsible for any actions taken based on the information provided. The content does not constitute financial, legal, or other professional advice, nor should it be considered a recommendation or endorsement by MEXC.

You May Also Like

Today’s Wordle #1630 Hints And Answer For Friday, December 5

Today’s Wordle #1630 Hints And Answer For Friday, December 5

The post Today’s Wordle #1630 Hints And Answer For Friday, December 5 appeared on BitcoinEthereumNews.com. How to solve today’s Wordle. SOPA Images/LightRocket via Getty Images Friday is here at long last. It’s the first Friday of December. In my hometown, First Friday is a big deal. There’s an art walk, live music. Local retailers will often have free beverages for shoppers (sometimes boozy, but in these chillier times it can be hot cocoa). It’s a nice way to kick off the month. I’ll be home playing games or watching my shows, of course, but then I’m a homebody to my very core. Speaking of games, let’s solve today’s Wordle! It’s 2XP Friday so double your points! Looking for Thursday’s Wordle? Check out our guide right here. Today’s Bonus Wordle Now that we can create our own custom Wordles, I’m including a bonus Wordle with each daily Wordle guide. These can be 4 to 7 letters long. Hopefully this is a fun extra challenge. Click the link below to play the Wordle I hand-crafted for you. Today’s Bonus Custom Wordle. This custom Wordle is 7 letters long. The hint: John Lennon urged us to be this kind of person. The clue: This Wordle has a double letter. Yesterday’s bonus Wordle answer was: SYMBOL Play Puzzles & Games on Forbes How To Solve Today’s Wordle How To Play Wordle Wordle game website displayed on a phone screen is seen in this illustration photo taken in Poland on August 6, 2024. (Photo by Jakub Porzycki/NurPhoto via Getty Images) NurPhoto via Getty Images Wordle is a daily word puzzle game where your goal is to guess a hidden five-letter word in six tries or fewer. After each guess, the game gives feedback to help you get closer to the answer: Green: The letter is in the word and in the correct spot. Yellow: The letter is in the word,…
Share
BitcoinEthereumNews2025/12/05 09:16
Edges higher ahead of BoC-Fed policy outcome

Edges higher ahead of BoC-Fed policy outcome

The post Edges higher ahead of BoC-Fed policy outcome appeared on BitcoinEthereumNews.com. USD/CAD gains marginally to near 1.3760 ahead of monetary policy announcements by the Fed and the BoC. Both the Fed and the BoC are expected to lower interest rates. USD/CAD forms a Head and Shoulder chart pattern. The USD/CAD pair ticks up to near 1.3760 during the late European session on Wednesday. The Loonie pair gains marginally ahead of monetary policy outcomes by the Bank of Canada (BoC) and the Federal Reserve (Fed) during New York trading hours. Both the BoC and the Fed are expected to cut interest rates amid mounting labor market conditions in their respective economies. Inflationary pressures in the Canadian economy have cooled down, emerging as another reason behind the BoC’s dovish expectations. However, the Fed is expected to start the monetary-easing campaign despite the United States (US) inflation remaining higher. Investors will closely monitor press conferences from both Fed Chair Jerome Powell and BoC Governor Tiff Macklem to get cues about whether there will be more interest rate cuts in the remainder of the year. According to analysts from Barclays, the Fed’s latest median projections for interest rates are likely to call for three interest rate cuts by 2025. Ahead of the Fed’s monetary policy, the US Dollar Index (DXY), which tracks the Greenback’s value against six major currencies, holds onto Tuesday’s losses near 96.60. USD/CAD forms a Head and Shoulder chart pattern, which indicates a bearish reversal. The neckline of the above-mentioned chart pattern is plotted near 1.3715. The near-term trend of the pair remains bearish as it stays below the 20-day Exponential Moving Average (EMA), which trades around 1.3800. The 14-day Relative Strength Index (RSI) slides to near 40.00. A fresh bearish momentum would emerge if the RSI falls below that level. Going forward, the asset could slide towards the round level of…
Share
BitcoinEthereumNews2025/09/18 01:23