The fixed rate loan platform based on Ethereum Finance has recovered $ 1 million from $ 1.6 million lost due to an erroneous oracle which triggered erroneous liquidations on its hut in trees (Teth).
In a press release published on X, the term finance detailed recovery efforts, noting that 223,197 ETH (approximately $ 400,000) was resumed internally, while an additional ETH (around $ 600,000) was obtained by negotiations.
The current loss is now 362.03 ETH, worth $ 650,000 – a significant reduction compared to the initial impact of 918 ETH.
The term finance clarifies the Oracle incident was a bug, not a hacking
Responding to the concerns raised by security analysts, the term finance said that the incident was not the result of hacking. Instead, a buckt in an updated ETH oracle caused the liquidation error.
“No smart contract has been operated and user funds have not been directly targeted,” said the team.
However, the details concerning the negotiation process for the returned funds remain uncluttered, and the financing of the terms has not yet provided any comments.
This Oracle misadventure adds to an increasing list of recent vulnerabilities in the DEFI sector.
A few days earlier, the platform based in Solana Loopscale underwent a feat of $ 5.8 million, while Crypto Exchange Bitget declared a loss of $ 20 million after a coordinated manipulation of a less known token market.
Bitget announced legal action against eight accounts related to the incident.
In addition, Impermax financing was the victim of a flash loan attack this weekend, causing losses over $ 150,000, according to the security company Tenarmor.
The protocol confirmed the violation, promising a detailed post -mortem once the investigations ends.
Recovery in such cases remain incoherent in industry.
Bybit’s CEO, Ben Zhou, recently revealed that, following a hacking of $ 1.4 billion in February, almost 28% of the stolen funds had become imposed after being bleached by mixers and peer-to-peer platforms.
Only a fraction (3.84%) was successfully frozen.
Crypto lost $ 1.6 billion against pirates in the first quarter
In the first three months of 2025, the cryptography ecosystem lost $ 1,635,933,800 in 39 incidents, according to the Immunefi blockchain safety platform.
The report says: “The first quarter of 2025 marks the worst quarter for hacks in the history of the cryptography ecosystem”.
Most of this is the result of only two hacks of two centralized exchanges. Phemex suffered a loss of $ 69.1 million in January, while Bebit lost $ 1.46 billion in February.
Subsequently, the total number of losses in the first quarter marked an increase of 4.7x compared to the first quarter of 2024. At that time, pirates and fraudsters stole $ 348,251,217.
In particular, experts assume that the infamous North Korean group Lazarus is the source of the two largest attacks. They stole $ 1.52 billion, or 94% of total losses.
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