Stablecoin DeFi project, ORIGIN DOLLAR losses $7M in re-entrancy attack

It is indeed a tough time for DeFI protocols as another DeFi project, ORIGIN DOLLAR suffers a $7M attack. 

According to a recent update, Mathew Liu, the co-founder of ORIGIN DOLLAR confirmed the track. He said; 

“The team is all hands on deck attempting to figure out what vulnerability was exploited and how the hacker was able to access users’ deposits,”

Although the total amount lost wasn’t clear at the moment, details show that it is estimated to be around $7M- a combination of ETH and DAI and another $1M belonging to the employees. 

Liu reported when responding on the possibility of re-entrancy bug that it is likely a track from any of the supported stable coins.

“The attack was a reentrancy bug in our contract. Unfortunately, our contract was safe from reentrancy bugs unless one of our supported stablecoins was attacking us”. 

Since the last few hours, the attack took place, rumors had it that it is a rug bug or internal scam. However, the team maintained; 

“This is not a rug pull or internal scam. Despite this setback, it is very much in our intention to make OUSD a safe, secure, and successful product that builds on the broader Origin mission of peer-to-peer commerce.”

Regrately, the news dipped the price from $1 to $0.1463, losing around 85.5% of the price, according to Coingecko data.