Azoundria: Created page with "{{Imported Case Study With About|source=https://www.quadrigainitiative.com/casestudy/monoswapmaliciouskakaocallsoftware.php}} {{Unattributed Sources}} MonoSwap Logo/HomepageMonoSwap is a liquidity provider on the Blast smart chain. On or before July 24th, the team was approached by what was believed to be a venture capital fund to install Kakao Chat software for their meeting. Instead of legitimate meeting software, this software contrained m..."

2024-10-25T19:56:00Z

Created page with "{{Imported Case Study With About|source=https://www.quadrigainitiative.com/casestudy/monoswapmaliciouskakaocallsoftware.php}} {{Unattributed Sources}} thumb|MonoSwap Logo/HomepageMonoSwap is a liquidity provider on the Blast smart chain. On or before July 24th, the team was approached by what was believed to be a venture capital fund to install Kakao Chat software for their meeting. Instead of legitimate meeting software, this software contrained m..."

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{{Imported Case Study With About|source=https://www.quadrigainitiative.com/casestudy/monoswapmaliciouskakaocallsoftware.php}}
{{Unattributed Sources}}

[[File:Monoswap.jpg|thumb|MonoSwap Logo/Homepage]]MonoSwap is a liquidity provider on the Blast smart chain. On or before July 24th, the team was approached by what was believed to be a venture capital fund to install Kakao Chat software for their meeting. Instead of legitimate meeting software, this software contrained malware that allowed the computer to be remotely controlled and exploited. This remote access was used to obtain private key information from the protocol, which was used to withdraw all funds. Funds were promptly converted and transfered to TornadoCash.<ref name="slowmisthackedarchive-14855" /><ref name="monoswap-14979" /><ref name="monoswapdocs-14980" /><ref name="monoswapiotwitter-14981" /><ref name="monoswapiotwitter-14982" /><ref name="monoswapiotwitter-14983" /><ref name="zkaffeintwitter-14984" /><ref name="nftcelestialstwitter-14985" /><ref name="bscnheadlinestwitter-14986" /><ref name="chainaegistwitter-14987" /><ref name="jinacointwitter-14988" /><ref name="defisecuritytwitter-14989" /><ref name="appbreadcrumbstwitter-14990" /><ref name="breadcrumbsapp-14991" /><ref name="protos-14992" /><ref name="blastscan-14993" /><ref name="etherscan-14994" />

== About MonoSwap ==
"MonoSwap represents a meticulously crafted ecosystem-centric, yield-driven Decentralized Exchange (DEX) and Launchpad seamlessly integrated with the robust Blast framework.

Distinguished by its highly efficient and customizable protocol, MonoSwap provides builders and users alike with the unparalleled ability to harness our bespoke infrastructure, fostering deep, sustainable, and adaptable liquidity. Going beyond conventional DEX designs, MonoSwap stands out by offering a uniquely tailored approach that places a premium on composability, redefining the landscape of decentralized financial solutions."

== The Reality ==
This sections is included if a case involved deception or information that was unknown at the time. Examples include:

* When the service was actually started (if different than the "official story").
* Who actually ran a service and their own personal history.
* How the service was structured behind the scenes. (For example, there was no "trading bot".)
* Details of what audits reported and how vulnerabilities were missed during auditing.

== What Happened ==
The specific events of the loss and how it came about. What actually happened to cause the loss and some of the events leading up to it.
{| class="wikitable"
|+Key Event Timeline - MonoSwap Malicious Kakao Call Software
!Date
!Event
!Description
|-
|July 24th, 2024 8:35:35 AM MDT
|Funds Converted To Ethereum
|The stolen funds are converted into eEtheruem in the attacker's wallet.
|-
|July 24th, 2024 9:53:00 AM MDT
|Cyvers Alerts Tweet
|The Cyvers team tweets reporting the detection of multiple suspicious transactions originating from the MonoSwap smart contracts. At this point, they have already attributed the loss to a phishing app, and funds are already sent to TornadoCash.
|-
|July 24th, 2024 10:09:00 AM MDT
|ChainAegis Tweet
|ChainAegis reposts in response to the original tweet from the team.
|-
|July 24th, 2024 10:42:00 AM MDT
|Second Twitter Post
|The MonoSwap team reposts on Twitter to admit their screw-up with clicking a phishing link and installing malicious voice calling software. This time, the phishing link is not clickable in the post.
|-
|July 25th, 2024 7:15:00 AM MDT
|Deploying New Smart Contracts
|The MonoSwap team announces that they are planning the deployment of new smart contracts to replace the vulnerable ones (given that the private keys have been exposed).
|-
|July 30th, 2024 3:11:00 AM MDT
|Recovery Plan Discussions
|The team announces the redeployment on Twitter, and that they are still internally discussing potential recovery plans for affected users.
|}

== Technical Details ==
This section includes specific detailed technical analysis of any security breaches which happened. What specific software vulnerabilities contributed to the problem and how were they exploited?

== Total Amount Lost ==
The total amount lost has been estimated at $1,300,000 USD.

How much was lost and how was it calculated? If there are conflicting reports, which are accurate and where does the discrepancy lie?

== Immediate Reactions ==
"Blast ecosystem DEX MonoSwap disclosed on Twitter that the platform has been hacked. Users are advised not to add liquidity or stake. If you have any staking positions, please withdraw them immediately to avoid financial loss."

"Yesterday, one of our developers installed a phishing app to join a call with scammers who pretended to be a VC. The attackers installed the botnet into his office PC, which has access to all MonoSwap-related wallets and contracts. The hackers then withdrew most of the staked liquidity positions, causing damage to the protocol."

"The hacker has bridged the stolen funds from BLAST to Ethereum & already laundered 371 $ETH (worth ~$1.3 million) via #TornadoCash."

"ALERT: MonoSwap has been hacked. DO NOT add liquidity or stake in our farming pools at the moment.

If you have any staked positions, please withdraw immediately to avoid funds loss."

"We are investigating the attack right now and will soon announce the next moves. We were trying to work with VCs to build a better future for MonoSwap. However, unfortunate things happened and now we are trying our best to solve this issue."

== Ultimate Outcome ==
"New contracts for our v2 + v3 AMMs were deployed and will be migrated to the UI in 48 hours.

We are working to deploy new contracts for Lottery, MonoChest, MonoPass, Dividends, MONO, and xMONO.

A snapshot was taken and users will receive newly deployed assets directly in their wallet. A detailed timeline will be published soon in our Discord.

For now, please withdraw all of your positions left on previous contracts.

We are having internal discussions on recovery plans for impacted users. Please stay tuned for more info in the coming time."

== Total Amount Recovered ==
There do not appear to have been any funds recovered in this case.

What funds were recovered? What funds were reimbursed for those affected users?

== Ongoing Developments ==
What parts of this case are still remaining to be concluded?
== Individual Prevention Policies ==
{{Prevention:Individuals:Placeholder}}

{{Prevention:Individuals:End}}

== Platform Prevention Policies ==
{{Prevention:Platforms:Placeholder}}

{{Prevention:Platforms:End}}

== Regulatory Prevention Policies ==
{{Prevention:Regulators:Placeholder}}

{{Prevention:Regulators:End}}

== References ==
<references><ref name="slowmisthackedarchive-14855">[https://web.archive.org/web/20240808214412/https://hacked.slowmist.io/ SlowMist Hacked - SlowMist Zone] (Accessed Aug 8, 2024)</ref>

<ref name="monoswap-14979">[https://www.monoswap.io/ Monoswap] (Accessed Aug 16, 2024)</ref>

<ref name="monoswapdocs-14980">[https://docs.monoswap.io/ ┃Overview | MonoSwap Docs] (Accessed Aug 16, 2024)</ref>

<ref name="monoswapiotwitter-14981">[https://twitter.com/monoswapio/status/1816151998267547851 @monoswapio Twitter] (Accessed Aug 16, 2024)</ref>

<ref name="monoswapiotwitter-14982">[https://twitter.com/monoswapio/status/1818212937372426254 @monoswapio Twitter] (Accessed Aug 16, 2024)</ref>

<ref name="monoswapiotwitter-14983">[https://twitter.com/monoswapio/status/1816462185322979712 @monoswapio Twitter] (Accessed Aug 16, 2024)</ref>

<ref name="zkaffeintwitter-14984">[https://twitter.com/ZKaffein/status/1816407942599430336 @ZKaffein Twitter] (Accessed Aug 16, 2024)</ref>

<ref name="nftcelestialstwitter-14985">[https://twitter.com/NftCelestials/status/1816387707758891131 @NftCelestials Twitter] (Accessed Aug 16, 2024)</ref>

<ref name="bscnheadlinestwitter-14986">[https://twitter.com/BSCNheadlines/status/1816160138228572386 @BSCNheadlines Twitter] (Accessed Aug 16, 2024)</ref>

<ref name="chainaegistwitter-14987">[https://twitter.com/ChainAegis/status/1816143593209507960 @ChainAegis Twitter] (Accessed Aug 16, 2024)</ref>

<ref name="jinacointwitter-14988">[https://twitter.com/jina_coin/status/1816148409340047678 @jina_coin Twitter] (Accessed Aug 16, 2024)</ref>

<ref name="defisecuritytwitter-14989">[https://twitter.com/De_FiSecurity/status/1816141548628894021 @De_FiSecurity Twitter] (Accessed Aug 16, 2024)</ref>

<ref name="appbreadcrumbstwitter-14990">[https://twitter.com/AppBreadcrumbs/status/1816381612113658103 @AppBreadcrumbs Twitter] (Accessed Aug 16, 2024)</ref>

<ref name="breadcrumbsapp-14991">[https://www.breadcrumbs.app/reports/12027 https://www.breadcrumbs.app/reports/12027] (Accessed Aug 16, 2024)</ref>

<ref name="protos-14992">[https://protos.com/blast-protocol-monoswap-announces-hack-with-link-to-attackers-website/ Blast protocol MonoSwap announces hack with link to attacker’s website] (Accessed Aug 16, 2024)</ref>

<ref name="blastscan-14993">[https://blastscan.io/address/0x837fe561e9c5dfa73f607fda679295dbc2be5e40 Monoswap: MUSD Token | Address 0x837fe561e9c5dfa73f607fda679295dbc2be5e40 | Blastscan] (Accessed Aug 16, 2024)</ref>

<ref name="etherscan-14994">[https://etherscan.io/tx/0x79a006b0d839f3da44be0dc450b953fefff245f417eb37d54bf26eba7e472ada Ethereum Transaction Hash (Txhash) Details | Etherscan] (Accessed Aug 16, 2024)</ref></references>

MonoSwap Malicious Kakao Call Software - Revision history