Olympus DAO Team Ops Failure - Revision history

Azoundria at 21:32, 7 May 2023

2023-05-07T21:32:38Z

← Older revision		Revision as of 15:32, 7 May 2023
Line 4:		Line 4:
	[[File:Olympusdao.jpg\|thumb\|Olympus DAO]]Olympus DAO runs a protocol with a treasury backing the assets, aiming to maintain a minimum price floor. One of their bonds backing a liquidity pool was accidentally left online when not intended, resulting in an attacker being able to exploit that at a significant profit. It's unclear if any losses were covered by the project.		[[File:Olympusdao.jpg\|thumb\|Olympus DAO]]Olympus DAO runs a protocol with a treasury backing the assets, aiming to maintain a minimum price floor. One of their bonds backing a liquidity pool was accidentally left online when not intended, resulting in an attacker being able to exploit that at a significant profit. It's unclear if any losses were covered by the project.

	This is a global/international case not involving a specific country.		This is a global/international case not involving a specific country.<ref name="insuraceblog-6155" /><ref name="theblockcrypto-6322" /><ref name="olympusdaofinance-6323" /><ref name="olympusdaofinancedocs-6324" /><ref name="olympusdaomedium-6325" /><ref name="theblocktwitter-6326" /><ref name="youtube-6327" />
	<ref name="insuraceblog-6155" /><ref name="theblockcrypto-6322" /><ref name="olympusdaofinance-6323" /><ref name="olympusdaofinancedocs-6324" /><ref name="olympusdaomedium-6325" /><ref name="theblocktwitter-6326" /><ref name="youtube-6327" />

	== About Olympus DAO ==		== About Olympus DAO ==
Line 59:		Line 58:
	!Description		!Description
	\|-		\|-
	\|November 23rd, 2021 ~~12:00:00 AM~~		\|November 23rd, 2021
	\|Main Event		\|Main Event
	\|Expand this into a brief description of what happened and the impact. If multiple lines are necessary, add them here.		\|Expand this into a brief description of what happened and the impact. If multiple lines are necessary, add them here.
Line 67:		Line 66:
	\|		\|
	\|}		\|}

			== 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 ==		== Total Amount Lost ==
Line 86:		Line 88:
	== Ongoing Developments ==		== Ongoing Developments ==
	What parts of this case are still remaining to be concluded?		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 ~~Policies ==~~		{{Prevention:Regulators:End}}
	~~Which policies could have prevented this event from happening?~~

	== References ==		== References ==

Azoundria at 23:59, 27 February 2023

2023-02-27T23:59:15Z

← Older revision		Revision as of 17:59, 27 February 2023
Line 1:		Line 1:
	{{Imported Case Study\|source=https://www.quadrigainitiative.com/casestudy/olympusdaoteamopsfailure.php}}		{{Imported Case Study\|source=https://www.quadrigainitiative.com/casestudy/olympusdaoteamopsfailure.php}}
			{{Unattributed Sources}}

	[[File:Olympusdao.jpg\|thumb\|Olympus DAO]]Olympus DAO runs a protocol with a treasury backing the assets, aiming to maintain a minimum price floor. One of their bonds backing a liquidity pool was accidentally left online when not intended, resulting in an attacker being able to exploit that at a significant profit. It's unclear if any losses were covered by the project.		[[File:Olympusdao.jpg\|thumb\|Olympus DAO]]Olympus DAO runs a protocol with a treasury backing the assets, aiming to maintain a minimum price floor. One of their bonds backing a liquidity pool was accidentally left online when not intended, resulting in an attacker being able to exploit that at a significant profit. It's unclear if any losses were covered by the project.

	This is a global/international case not involving a specific country.		This is a global/international case not involving a specific country.
			<ref name="insuraceblog-6155" /><ref name="theblockcrypto-6322" /><ref name="olympusdaofinance-6323" /><ref name="olympusdaofinancedocs-6324" /><ref name="olympusdaomedium-6325" /><ref name="theblocktwitter-6326" /><ref name="youtube-6327" />

	== About Olympus DAO ==		== About Olympus DAO ==
Line 89:		Line 91:

	== References ==		== References ==
	[https://blog.insurace.io/security-incidents-in-november-e4bcb39dd7f9 https://blog.insurace.io/security-incidents-in-november-e4bcb39dd7f9] (Feb 1)		<references><ref name="insuraceblog-6155">[https://blog.insurace.io/security-incidents-in-november-e4bcb39dd7f9 https://blog.insurace.io/security-incidents-in-november-e4bcb39dd7f9] (Feb 1, 2022)</ref>

	[https://www.theblockcrypto.com/post/125170/olympusdao-mistake-lets-user-spend-50000-to-buy-1-43-million-in-ohm OlympusDAO mistake lets user spend $50,000 to buy $1.43 million in OHM] (Feb 9)		<ref name="theblockcrypto-6322">[https://www.theblockcrypto.com/post/125170/olympusdao-mistake-lets-user-spend-50000-to-buy-1-43-million-in-ohm OlympusDAO mistake lets user spend $50,000 to buy $1.43 million in OHM] (Feb 9, 2022)</ref>

	[https://www.olympusdao.finance/ Olympus DAO \| The Decentralized Reserve Currency] (Feb 9)		<ref name="olympusdaofinance-6323">[https://www.olympusdao.finance/ Olympus DAO \| The Decentralized Reserve Currency] (Feb 9, 2022)</ref>

	[https://docs.olympusdao.finance/main/ Introduction - Olympus] (Feb 9)		<ref name="olympusdaofinancedocs-6324">[https://docs.olympusdao.finance/main/ Introduction - Olympus] (Feb 9, 2022)</ref>

	[https://olympusdao.medium.com/the-game-theory-of-olympus-e4c5f19a77df The Game Theory Of Olympus] (Feb 9)		<ref name="olympusdaomedium-6325">[https://olympusdao.medium.com/the-game-theory-of-olympus-e4c5f19a77df The Game Theory Of Olympus] (Feb 9, 2022)</ref>

	[https://twitter.com/TheBlock__/status/1463195090655100939 @TheBlock__ Twitter] (Feb 9)		<ref name="theblocktwitter-6326">[https://twitter.com/TheBlock__/status/1463195090655100939 @TheBlock__ Twitter] (Feb 9, 2022)</ref>

	[https://www.youtube.com/watch?v=QZOaZ9dd-ms What is OlympusDAO? Staking, Bonding, and the $OHM Token Explained - YouTube] (Feb 9)		<ref name="youtube-6327">[https://www.youtube.com/watch?v=QZOaZ9dd-ms What is OlympusDAO? Staking, Bonding, and the $OHM Token Explained - YouTube] (Feb 9, 2022)</ref></references>

Azoundria: Created page with "{{Imported Case Study|source=https://www.quadrigainitiative.com/casestudy/olympusdaoteamopsfailure.php}} Olympus DAOOlympus DAO runs a protocol with a treasury backing the assets, aiming to maintain a minimum price floor. One of their bonds backing a liquidity pool was accidentally left online when not intended, resulting in an attacker being able to exploit that at a significant profit. It's unclear if any losses were covered by the projec..."

2023-01-28T04:02:56Z

Created page with "{{Imported Case Study|source=https://www.quadrigainitiative.com/casestudy/olympusdaoteamopsfailure.php}} thumb|Olympus DAOOlympus DAO runs a protocol with a treasury backing the assets, aiming to maintain a minimum price floor. One of their bonds backing a liquidity pool was accidentally left online when not intended, resulting in an attacker being able to exploit that at a significant profit. It's unclear if any losses were covered by the projec..."

New page

{{Imported Case Study|source=https://www.quadrigainitiative.com/casestudy/olympusdaoteamopsfailure.php}}

[[File:Olympusdao.jpg|thumb|Olympus DAO]]Olympus DAO runs a protocol with a treasury backing the assets, aiming to maintain a minimum price floor. One of their bonds backing a liquidity pool was accidentally left online when not intended, resulting in an attacker being able to exploit that at a significant profit. It's unclear if any losses were covered by the project.

This is a global/international case not involving a specific country.

== About Olympus DAO ==
"The Decentralized Reserve Currency. Olympus is building a community-owned decentralized financial infrastructure to bring more stability and transparency for the world."

"Olympus is a decentralized reserve currency protocol based on the OHM token. Each OHM token is backed by a basket of assets (e.g. DAI, FRAX) in the Olympus treasury, giving it an intrinsic value that it cannot fall below. Olympus also introduces unique economic and game-theoretic dynamics into the market through staking and bonding."

"OlympusDAO is an experimental project in the cryptosphere. The DAO manages a token treasury that's used to back the OHM currency. The purpose of the treasury is to make sure the token maintains a certain floor price. If the token drops below that price, the assets in the treasury can be sold to buy back OHM tokens — with the goal to bring its price back above that mark."

"The DAO uses a process for helping the token to stay above that mark called Bonding. The DAO buys assets from investors (to go into the treasury) and issues OHM tokens to replace them. These bonds usually get a 5-10% discount and the tokens are handing out after a vesting period, which is currently set to five days."

"Olympus DAO mistakenly believed they had shut down the OHM/DAI bond but didn’t actually do so. This mistake enabled someone to spend $50,000 to receive $1.43 million of Olympus (OHM) tokens when they should have received far less."

"Earlier today someone bonded an OHM/DAI bond that was presumed to be closed off. This enabled the user to have a substantial discount resulting in the user receiving 1697 ohm instead of 59 ohm. After this occurred, we took immediate action and the bond contract has been shut down in the meantime," wrote an admin named Wartull.

"Somebody used [the SushiSwap OHM/DAI pool] bond to sell $50,000 of OHM/DAI LP tokens for 1,697 OHM, worth $1.43 million. Instead, they should have received only around $52,000 to $55,000 of OHM. The OHM tokens they received will be distributed over five days."

"According to the update, there was a safety limit in place that stopped the user from being able to withdraw even more tokens. The OlympusDAO community is scheduled to host a community call on Thursday to discuss the incident."

This is a global/international case not involving a specific country.

The background of the exchange platform, service, or individuals involved, as it would have been seen or understood at the time of the events.

Include:

* Known history of when and how the service was started.
* What problems does the company or service claim to solve?
* What marketing materials were used by the firm or business?
* Audits performed, and excerpts that may have been included.
* Business registration documents shown (fake or legitimate).
* How were people recruited to participate?
* Public warnings and announcements prior to the event.

Don't Include:
* Any wording which directly states or implies that the business is/was illegitimate, or that a vulnerability existed.
* Anything that wasn't reasonably knowable at the time of the event.
There could be more than one section here. If the same platform is involved with multiple incidents, then it can be linked to a main article page.

== 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 - Olympus DAO Team Ops Failure
!Date
!Event
!Description
|-
|November 23rd, 2021 12:00:00 AM
|Main Event
|Expand this into a brief description of what happened and the impact. If multiple lines are necessary, add them here.
|-
|
|
|
|}

== Total Amount Lost ==
The total amount lost has been estimated at $1,380,000 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 ==
How did the various parties involved (firm, platform, management, and/or affected individual(s)) deal with the events? Were services shut down? Were announcements made? Were groups formed?

== Ultimate Outcome ==
What was the end result? Was any investigation done? Were any individuals prosecuted? Was there a lawsuit? Was any tracing done?

== 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?

== Prevention Policies ==
Which policies could have prevented this event from happening?

== References ==
[https://blog.insurace.io/security-incidents-in-november-e4bcb39dd7f9 https://blog.insurace.io/security-incidents-in-november-e4bcb39dd7f9] (Feb 1)

[https://www.theblockcrypto.com/post/125170/olympusdao-mistake-lets-user-spend-50000-to-buy-1-43-million-in-ohm OlympusDAO mistake lets user spend $50,000 to buy $1.43 million in OHM] (Feb 9)

[https://www.olympusdao.finance/ Olympus DAO | The Decentralized Reserve Currency] (Feb 9)

[https://docs.olympusdao.finance/main/ Introduction - Olympus] (Feb 9)

[https://olympusdao.medium.com/the-game-theory-of-olympus-e4c5f19a77df The Game Theory Of Olympus] (Feb 9)

[https://twitter.com/TheBlock__/status/1463195090655100939 @TheBlock__ Twitter] (Feb 9)

[https://www.youtube.com/watch?v=QZOaZ9dd-ms What is OlympusDAO? Staking, Bonding, and the $OHM Token Explained - YouTube] (Feb 9)