Stablecoin Cashio plummets by 100% due to infinite mint glitch

2022-03-25

0 0 1 minute read

The worth of Cashio (CASH), a USD-pegged stablecoin based mostly on the Solana blockchain, dropped to almost zero at present after a newly found exploit allowed customers to provide limitless quantities of the token.

“Please don’t mint any CASH. There may be an infinite mint glitch,” Cashio’s Twitter account introduced at present. “We’re investigating the difficulty and we imagine now we have discovered the foundation trigger. Please withdraw your funds from swimming pools. We’ll publish a postmortem ASAP.”

Please retweet for visibility.

— Cashio ($CASH) 💵 (@CashioApp) March 23, 2022

Beneath regular circumstances, customers needed to lock up their USDT and USDC stablecoins in a liquidity pool in an effort to mint Cashio. Nonetheless, the exploit allowed not less than one attacker to mint 2 billion CASH tokens with out offering something in return. Consequently, the hacker used his newly acquired “free” tokens to empty different stablecoins from Cashio’s swimming pools.

Cashio's (CASH) price dropped by 100%. Image: CoinGecko — Cashio’s (CASH) worth dropped by 100%. Picture: CoinGecko

Because of this, the worth of CASH crashed from $1 to $0.00005786, successfully shedding 100% of its worth, in keeping with crypto metrics platform CoinGecko.

Previous to the crash, round $28.9 million value of CASH tokens have been locked within the ecosystem, DeFi Llama’s information exhibits. Nonetheless, after the glitch was found and exploited, this determine shrunk to only about $580,000.

Kryll - Automated crypto trading made simple

Cashio's TVL shrunk from $28.9 million to $580,000. Image: DeFi Llama — Cashio’s TVL shrunk from $28.9 million to $580,000. Picture: DeFi Llama

In its flip, Saber, a Solana-based market maker protocol on which Cashio’s liquidity swimming pools have been based mostly, rapidly stopped the corresponding operations.

“We’ve paused all $CASH swimming pools—we’re investigating the difficulty and can present an replace ASAP,” Saber tweeted at present.

We have paused all $CASH swimming pools — we’re investigating the difficulty and can present an replace ASAP. https://t.co/lqqB869mYw

— Saber (@Saber_HQ) March 23, 2022

Sadly, Cashio is way from the primary “secure” token that in the end proved to be something however. For instance, the worth of SafeDollar, an algorithmic DeFi stablecoin based mostly on the Polygon blockchain, equally dropped to near-zero as a result of a $248,000 exploit final summer time.