Crema Finance Shuts Down Liquidity Protocol On Solana After Hack

Crema Finance liquidity protocol shuts down due to an exploit that drained a huge chunk of their funds over the Solana blockchain as we can see more today in our latest cryptocurrency news.

While awaiting the reports on the situation, Crypto Twitter tracked down the hacker’s wallet and gave a better understanding of the problem. Crema Finance annoucned a temporary suspension of the services after an exploit that drained some of their funds. After realizing the hack on the protocol, Crema Finance suspended the services to refrain the hacker from draining the liqudity reserves that include the funds of the service provider and the investors. The co-founder of Crema Finance Henry Du confirmed:

“We are working with some security companies and got support from Solana, Solscan and Etherscan etc. We will continue to post any update via official Twitter account.”

🚨🚨Attention! Our protocol seems to have just experienced a hacking. We temporarily suspended the program and are investigating it. Updates will be shared here ASAP.

— CremaFinance (@Crema_Finance) July 3, 2022

While the company is yet to provide an updated base on the investigation that was ongoing at the time of writing, the community on Twitter took it upon themselves to track down the hacker’s wallet. Based on the investigation, one crypto community member spotted the hacker’s wallet address which holds 69,422 SOL tokens or over $2.3 million that was procured via a series of transactions in a few hours. Other members of the community suspect the hacker made away with 90% of the total liqudity from some of the Crema Finance pools. Du confirmed that the functions of the protocol were suspended indefinitely and asked investors to stay alert for more information.

The readers have to note that Crema Finance is not related to Cream Finance which is a DEFI lending protocol that also got hacked out of $19 million last year. North Korean hacking syndicate known as the Lazarus Group became the main suspect in the recent attack that made away with $100 million from the Harmony protocol. The investigations from Elliptic claimed the involvement of North Korea based on the laundering methods:

“There are strong indications that North Korea’s Lazarus Group may be responsible for this theft, based on the nature of the hack and the subsequent laundering of the stolen funds.”