Resupply Stablecoin Protocol Attacked, Estimated Loss of Approximately $9.5 Million

According to security experts, the stablecoin protocol Resupply was attacked, resulting in an estimated loss of approximately $9.5 million due to exchange rate manipulation.

The attack targeted cvcrvUSD — a wrapped version of Curve USD (crvUSD) staked in Convex Finance. The attacker artificially inflated the price of cvcrvUSD through donations, and the Resupply smart contract used this manipulated price to calculate the exchange rate, leading to a discrepancy in the valuation system.

Subsequently, the attacker called the lending function, using only 1 wei of cvcrvUSD as collateral to borrow 10 million reUSD. Resupply has confirmed the attack and stated that the affected contracts have been paused.

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