PancakeHunny Liquidity Pool Drained - Revision history

Azoundria at 23:52, 2 May 2023

2023-05-02T23:52:57Z

← Older revision		Revision as of 17:52, 2 May 2023
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	{{Imported Case Study\|source=https://www.quadrigainitiative.com/casestudy/pancakehunnyliquiditypooldrained.php}}		{{Imported Case Study 2\|source=https://www.quadrigainitiative.com/casestudy/pancakehunnyliquiditypooldrained.php}}
	{{Unattributed Sources}}		{{Unattributed Sources}}

	[[File:Pancakehunny.jpg\|thumb\|PancakeHunny]]The PancakeHunny smart contract had an exploit in the rewards mechanism, which allowed the attacker to mint additional Hunny which was not intended.		[[File:Pancakehunny.jpg\|thumb\|PancakeHunny]]The PancakeHunny smart contract had an exploit in the rewards mechanism, which allowed the attacker to mint additional Hunny which was not intended.

	This is a global/international case not involving a specific country.		This is a global/international case not involving a specific country.<ref name="watchpugtwitter-1443" /><ref name="pancakehunnytwitter-1444" /><ref name="pancakehunnytwitter-1445" /><ref name="pancakehunnytwitter-1446" /><ref name="pancakehunnydocs-1447" /><ref name="watchpugmedium-1448" /><ref name="bscscan-1449" /><ref name="pancakehunnymedium-1450" /><ref name="pancakehunnymedium-1451" /><ref name="slowmisthacked-678" /><ref name="openblocksecgithub-2342" />
	<ref name="watchpugtwitter-1443" /><ref name="pancakehunnytwitter-1444" /><ref name="pancakehunnytwitter-1445" /><ref name="pancakehunnytwitter-1446" /><ref name="pancakehunnydocs-1447" /><ref name="watchpugmedium-1448" /><ref name="bscscan-1449" /><ref name="pancakehunnymedium-1450" /><ref name="pancakehunnymedium-1451" /><ref name="slowmisthacked-678" /><ref name="openblocksecgithub-2342" />

	== About PancakeHunny ==		== About PancakeHunny ==
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	!Description		!Description
	\|-		\|-
	\|June 2nd, 2021 ~~12:00:00 AM~~		\|June 2nd, 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.
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	\|		\|
	\|}		\|}

			== 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 ==
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	== 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?
			== General Prevention Policies ==
			There do not appear to have been any assets lost here. The only impact was that the price of the Hunny token dropped.
			== 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}}
	~~There do not appear to have been any assets lost here. The only impact was that the price of the Hunny token dropped.~~

	== References ==		== References ==
	<references><ref name="watchpugtwitter-1443">[https://twitter.com/WatchPug_/status/1400281722608971780 @WatchPug_ Twitter] (Jun 16, 2021)</ref>		<references><ref name="watchpugtwitter-1443">[https://twitter.com/WatchPug_/status/1400281722608971780 @WatchPug_ Twitter] (Jun 17, 2021)</ref>

	<ref name="pancakehunnytwitter-1444">[https://twitter.com/PancakeHunny/status/1404740272882257920 @PancakeHunny Twitter] (Jun 16, 2021)</ref>		<ref name="pancakehunnytwitter-1444">[https://twitter.com/PancakeHunny/status/1404740272882257920 @PancakeHunny Twitter] (Jun 17, 2021)</ref>

	<ref name="pancakehunnytwitter-1445">[https://twitter.com/PancakeHunny/status/1400346373732536322 @PancakeHunny Twitter] (Jun 16, 2021)</ref>		<ref name="pancakehunnytwitter-1445">[https://twitter.com/PancakeHunny/status/1400346373732536322 @PancakeHunny Twitter] (Jun 17, 2021)</ref>

	<ref name="pancakehunnytwitter-1446">[https://twitter.com/PancakeHunny/status/1400443773436399617 @PancakeHunny Twitter] (Jun 16, 2021)</ref>		<ref name="pancakehunnytwitter-1446">[https://twitter.com/PancakeHunny/status/1400443773436399617 @PancakeHunny Twitter] (Jun 17, 2021)</ref>

	<ref name="pancakehunnydocs-1447">[https://docs.pancakehunny.finance/ Introduction - HunnyFinance] (Jun 16, 2021)</ref>		<ref name="pancakehunnydocs-1447">[https://docs.pancakehunny.finance/ Introduction - HunnyFinance] (Jun 17, 2021)</ref>

	<ref name="watchpugmedium-1448">[https://watchpug.medium.com/pancakehunny-performance-fee-minting-attack-analysis-e347d12bfdde Pancakehunny Performance Fee Minting Attack Analysis] (Jun 16, 2021)</ref>		<ref name="watchpugmedium-1448">[https://watchpug.medium.com/pancakehunny-performance-fee-minting-attack-analysis-e347d12bfdde Pancakehunny Performance Fee Minting Attack Analysis] (Jun 17, 2021)</ref>

	<ref name="bscscan-1449">[https://bscscan.com/tx/0x765de8357994a206bb90af57dcf427f48a2021f2f28ca81f2c00bc3b9842be8e Binance Transaction Hash (Txhash) Details \| BscScan] (Jun 18, 2021)</ref>		<ref name="bscscan-1449">[https://bscscan.com/tx/0x765de8357994a206bb90af57dcf427f48a2021f2f28ca81f2c00bc3b9842be8e Binance Transaction Hash (Txhash) Details \| BscScan] (Jun 19, 2021)</ref>

	<ref name="pancakehunnymedium-1450">[https://medium.com/pancakehunny/pancakehunny-preliminary-incident-report-6da18bc3c0e6 Pancakehunny Preliminary Incident Report] (Jun 18, 2021)</ref>		<ref name="pancakehunnymedium-1450">[https://medium.com/pancakehunny/pancakehunny-preliminary-incident-report-6da18bc3c0e6 Pancakehunny Preliminary Incident Report] (Jun 19, 2021)</ref>

	<ref name="pancakehunnymedium-1451">[https://medium.com/pancakehunny/pancakehunny-post-mortem-analysis-de78967401d8 Pancakehunny Post Mortem Analysis] (Jun 18, 2021)</ref>		<ref name="pancakehunnymedium-1451">[https://medium.com/pancakehunny/pancakehunny-post-mortem-analysis-de78967401d8 Pancakehunny Post Mortem Analysis] (Jun 19, 2021)</ref>

	<ref name="slowmisthacked-678">[https://hacked.slowmist.io/en/?c=ETH%20DApp SlowMist Hacked - SlowMist Zone] (May 17, 2021)</ref>		<ref name="slowmisthacked-678">[https://hacked.slowmist.io/en/?c=ETH%20DApp SlowMist Hacked - SlowMist Zone] (May 18, 2021)</ref>

	<ref name="openblocksecgithub-2342">[https://github.com/openblocksec/blocksec-incidents/blob/main/defi/2021.md blocksec-incidents/2021.md at main · openblocksec/blocksec-incidents · GitHub] (Aug 10, 2021)</ref></references>		<ref name="openblocksecgithub-2342">[https://github.com/openblocksec/blocksec-incidents/blob/main/defi/2021.md blocksec-incidents/2021.md at main · openblocksec/blocksec-incidents · GitHub] (Aug 11, 2021)</ref></references>

Azoundria at 17:33, 22 February 2023

2023-02-22T17:33:08Z

Azoundria: Created page with "{{Imported Case Study|source=https://www.quadrigainitiative.com/casestudy/pancakehunnyliquiditypooldrained.php}} PancakeHunnyThe PancakeHunny smart contract had an exploit in the rewards mechanism, which allowed the attacker to mint additional Hunny which was not intended. This is a global/international case not involving a specific country. == About PancakeHunny == "PancakeHunny aims to provide users the easiest way to join the bandwag..."

2023-01-27T18:25:31Z

Created page with "{{Imported Case Study|source=https://www.quadrigainitiative.com/casestudy/pancakehunnyliquiditypooldrained.php}} thumb|PancakeHunnyThe PancakeHunny smart contract had an exploit in the rewards mechanism, which allowed the attacker to mint additional Hunny which was not intended. This is a global/international case not involving a specific country. == About PancakeHunny == "PancakeHunny aims to provide users the easiest way to join the bandwag..."

New page

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

[[File:Pancakehunny.jpg|thumb|PancakeHunny]]The PancakeHunny smart contract had an exploit in the rewards mechanism, which allowed the attacker to mint additional Hunny which was not intended.

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

== About PancakeHunny ==
"PancakeHunny aims to provide users the easiest way to join the bandwagon of the DeFi world, built on top of PancakeSwap, giving you the tastiest CAKEs topped with HUNNY. We support the underlying DeFi technology and ecosystem to compound user yields through the Binance Smart Chain (BSC). We have seen a huge surge in DeFi activity in 2020 since the rise of Yield Aggregator projects on different blockchain networks with existing protocols such as MakerDAO, Aave, Compound, and etc. As a Yield Aggregator with a vital role in the yield farming economy, we are leveraging different DeFi protocols and strategies to maximize user profits."

"On 3rd June 2021, at 1:46 UTC. A smart contract was created to exploit the Hunny Minter Smart Contract. The Contract was subsequently executed 91 times." "According to official sources, PancakeHunny on BSC was attacked by hackers, and the hackers made 43 ETH (a total of more than 100,000 US dollars). PancakeHunny forked from PancakeBunny, and the attack suffered this time was similar to PancakeBunny. Hackers obtained a large amount of HUNNY tokens and threw them to the market, causing the price of HUNNY tokens to plummet." "A lot of Hunny tokens [were] minted out and dumped, the hacker has taken out 38.9 ETH."

"Attacker deployed a contract and added 0.5 BNB from an external wallet address: 0x6be5a267b04e9f24cdc1824fd38d63c436be91ab" "This is the sequence of events: (1) wBNB Swap CAKE from PancakeSwap. (2) Sent CAKE to HUNNY Minter Smart Contract. (3) Added CAKE-BNB Liquidity from PancakeSwap. (4) Deposited CAKE-BNB LP tokens to CAKE-BNB Hive. (5) Redeemed HUNNY Rewards. (6) Swap Cake Balance to HUNNY-BNB, increase CAKE Balance as per #2. (7) Exploited and increased 2,281,142.448 HUNNY supply." "Attacker converted all remaining wBNB into ETH and was sent to an external wallet address: 0x2E5Ea63d69b2ed33C869eED58433f0F799E1F7AA"

"Exploiter’s wallet address: 0x0ef50be29c82ecf2158ec1886dc6692a2b0db411" "Total exploited transactions: 100" "Total BNB gained by the attacker: 216 BNB"

"We have stopped the minting process. Hives are all SAFU." "Since the minter was switched off, we were unable to allocate HUNNY profits to the respective Hives."

"None of the Bunny and Bunny fork attacks is a Flash Loan attack. They are Performance Fee Minting Attacks. They just often get amplified/made easier with Flash Loans. These attacks are made possible by one or more logic bugs in the Performance Fee Minting process."

"The core issue is: it’s taking all the wallet balance to create the LP tokens which will later be used for profit calculation and minting. Same old bug as the two of the previous hacks."

"We have taken immediate action to protect our users from any further potential issues that could arise. All Hives are unaffected. Funds are SAFU. The exploit only affects the Prices of Hunny/BNB." "We have since changed the logic behind the HUNNY Minter, whereby it will only mint HUNNY based on the profits received from vaults."

"Due to the nature of the attack, users who have staked in our HUNNY Hive should observe an increase in the profit as well as an increase in the unlocked HUNNY amount. This is because our Minter also distributed more profits to the HUNNY Hive. In short, other than a price dip, our users are actually benefitting from the higher profits (wBNB) gained from Hunny Hive." "We’ve [also] taken the chance to restructure our internal processes. This has made us stronger and more resilient than ever before."

"We'd like to express our gratitude to our partner @WatchPug_ for keeping a lookout for us since our launch. We will continue to strengthen the security of our smart contracts as we have always endeavored."

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 - PancakeHunny Liquidity Pool Drained
!Date
!Event
!Description
|-
|June 2nd, 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 $100,000 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 ==
The total amount recovered has been estimated at $0 USD.

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 ==
There do not appear to have been any assets lost here. The only impact was that the price of the Hunny token dropped.

== References ==
[https://twitter.com/WatchPug_/status/1400281722608971780 @WatchPug_ Twitter] (Jun 16)

[https://twitter.com/PancakeHunny/status/1404740272882257920 @PancakeHunny Twitter] (Jun 16)

[https://twitter.com/PancakeHunny/status/1400346373732536322 @PancakeHunny Twitter] (Jun 16)

[https://twitter.com/PancakeHunny/status/1400443773436399617 @PancakeHunny Twitter] (Jun 16)

[https://docs.pancakehunny.finance/ Introduction - HunnyFinance] (Jun 16)

[https://watchpug.medium.com/pancakehunny-performance-fee-minting-attack-analysis-e347d12bfdde Pancakehunny Performance Fee Minting Attack Analysis] (Jun 16)

[https://bscscan.com/tx/0x765de8357994a206bb90af57dcf427f48a2021f2f28ca81f2c00bc3b9842be8e Binance Transaction Hash (Txhash) Details | BscScan] (Jun 18)

[https://medium.com/pancakehunny/pancakehunny-preliminary-incident-report-6da18bc3c0e6 Pancakehunny Preliminary Incident Report] (Jun 18)

[https://medium.com/pancakehunny/pancakehunny-post-mortem-analysis-de78967401d8 Pancakehunny Post Mortem Analysis] (Jun 18)

[https://hacked.slowmist.io/en/?c=ETH%20DApp SlowMist Hacked - SlowMist Zone] (May 17)

[https://github.com/openblocksec/blocksec-incidents/blob/main/defi/2021.md blocksec-incidents/2021.md at main · openblocksec/blocksec-incidents · GitHub] (Aug 10)

← Older revision		Revision as of 11:33, 22 February 2023
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	{{Imported Case Study\|source=https://www.quadrigainitiative.com/casestudy/pancakehunnyliquiditypooldrained.php}}		{{Imported Case Study\|source=https://www.quadrigainitiative.com/casestudy/pancakehunnyliquiditypooldrained.php}}
			{{Unattributed Sources}}

	[[File:Pancakehunny.jpg\|thumb\|PancakeHunny]]The PancakeHunny smart contract had an exploit in the rewards mechanism, which allowed the attacker to mint additional Hunny which was not intended.		[[File:Pancakehunny.jpg\|thumb\|PancakeHunny]]The PancakeHunny smart contract had an exploit in the rewards mechanism, which allowed the attacker to mint additional Hunny which was not intended.

	This is a global/international case not involving a specific country.		This is a global/international case not involving a specific country.
			<ref name="watchpugtwitter-1443" /><ref name="pancakehunnytwitter-1444" /><ref name="pancakehunnytwitter-1445" /><ref name="pancakehunnytwitter-1446" /><ref name="pancakehunnydocs-1447" /><ref name="watchpugmedium-1448" /><ref name="bscscan-1449" /><ref name="pancakehunnymedium-1450" /><ref name="pancakehunnymedium-1451" /><ref name="slowmisthacked-678" /><ref name="openblocksecgithub-2342" />

	== About PancakeHunny ==		== About PancakeHunny ==
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	== Total Amount Recovered ==		== Total Amount Recovered ==
	~~The total amount~~ recovered ~~has been estimated at $0 USD~~.		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?		What funds were recovered? What funds were reimbursed for those affected users?
Line 93:		Line 95:

	== References ==		== References ==
	[https://twitter.com/WatchPug_/status/1400281722608971780 @WatchPug_ Twitter] (Jun 16)		<references><ref name="watchpugtwitter-1443">[https://twitter.com/WatchPug_/status/1400281722608971780 @WatchPug_ Twitter] (Jun 16, 2021)</ref>

	[https://twitter.com/PancakeHunny/status/1404740272882257920 @PancakeHunny Twitter] (Jun 16)		<ref name="pancakehunnytwitter-1444">[https://twitter.com/PancakeHunny/status/1404740272882257920 @PancakeHunny Twitter] (Jun 16, 2021)</ref>

	[https://twitter.com/PancakeHunny/status/1400346373732536322 @PancakeHunny Twitter] (Jun 16)		<ref name="pancakehunnytwitter-1445">[https://twitter.com/PancakeHunny/status/1400346373732536322 @PancakeHunny Twitter] (Jun 16, 2021)</ref>

	[https://twitter.com/PancakeHunny/status/1400443773436399617 @PancakeHunny Twitter] (Jun 16)		<ref name="pancakehunnytwitter-1446">[https://twitter.com/PancakeHunny/status/1400443773436399617 @PancakeHunny Twitter] (Jun 16, 2021)</ref>

	[https://docs.pancakehunny.finance/ Introduction - HunnyFinance] (Jun 16)		<ref name="pancakehunnydocs-1447">[https://docs.pancakehunny.finance/ Introduction - HunnyFinance] (Jun 16, 2021)</ref>

	[https://watchpug.medium.com/pancakehunny-performance-fee-minting-attack-analysis-e347d12bfdde Pancakehunny Performance Fee Minting Attack Analysis] (Jun 16)		<ref name="watchpugmedium-1448">[https://watchpug.medium.com/pancakehunny-performance-fee-minting-attack-analysis-e347d12bfdde Pancakehunny Performance Fee Minting Attack Analysis] (Jun 16, 2021)</ref>

	[https://bscscan.com/tx/0x765de8357994a206bb90af57dcf427f48a2021f2f28ca81f2c00bc3b9842be8e Binance Transaction Hash (Txhash) Details \| BscScan] (Jun 18)		<ref name="bscscan-1449">[https://bscscan.com/tx/0x765de8357994a206bb90af57dcf427f48a2021f2f28ca81f2c00bc3b9842be8e Binance Transaction Hash (Txhash) Details \| BscScan] (Jun 18, 2021)</ref>

	[https://medium.com/pancakehunny/pancakehunny-preliminary-incident-report-6da18bc3c0e6 Pancakehunny Preliminary Incident Report] (Jun 18)		<ref name="pancakehunnymedium-1450">[https://medium.com/pancakehunny/pancakehunny-preliminary-incident-report-6da18bc3c0e6 Pancakehunny Preliminary Incident Report] (Jun 18, 2021)</ref>

	[https://medium.com/pancakehunny/pancakehunny-post-mortem-analysis-de78967401d8 Pancakehunny Post Mortem Analysis] (Jun 18)		<ref name="pancakehunnymedium-1451">[https://medium.com/pancakehunny/pancakehunny-post-mortem-analysis-de78967401d8 Pancakehunny Post Mortem Analysis] (Jun 18, 2021)</ref>

	[https://hacked.slowmist.io/en/?c=ETH%20DApp SlowMist Hacked - SlowMist Zone] (May 17)		<ref name="slowmisthacked-678">[https://hacked.slowmist.io/en/?c=ETH%20DApp SlowMist Hacked - SlowMist Zone] (May 17, 2021)</ref>

	[https://github.com/openblocksec/blocksec-incidents/blob/main/defi/2021.md blocksec-incidents/2021.md at main · openblocksec/blocksec-incidents · GitHub] (Aug 10)		<ref name="openblocksecgithub-2342">[https://github.com/openblocksec/blocksec-incidents/blob/main/defi/2021.md blocksec-incidents/2021.md at main · openblocksec/blocksec-incidents · GitHub] (Aug 10, 2021)</ref></references>