Coral Finance Reentrancy Attack: Difference between revisions
No edit summary |
No edit summary |
||
| Line 1: | Line 1: | ||
{{Imported Case Study|source=https://www.quadrigainitiative.com/casestudy/coralfinancereentrancyattack.php}} | {{Imported Case Study 2|source=https://www.quadrigainitiative.com/casestudy/coralfinancereentrancyattack.php}} | ||
{{Unattributed | {{Unattributed Sources}} | ||
While there is limited information available online, the Coral Finance is another example where a project with a smart contract hot wallet was breached and user funds were lost. In this case, the exploit was related to the way EOS uses wRAM. It does not appear that anything was done to assist affected users in this case, as the project appears to have disappeared. | While there is limited information available online, the Coral Finance is another example where a project with a smart contract hot wallet was breached and user funds were lost. In this case, the exploit was related to the way EOS uses wRAM. It does not appear that anything was done to assist affected users in this case, as the project appears to have disappeared. | ||
This is a global/international case not involving a specific country. | This is a global/international case not involving a specific country.<ref name="slowmisthacked-3935" /><ref name="slowmistmedium-1123" /><ref name="wombatmedium-4594" /><ref name="crlfinancearchive-4595" /><ref name="discussionsapp-4596" /><ref name="coinmarketcap-4597" /> | ||
<ref name="slowmisthacked-3935" /><ref name="slowmistmedium-1123" /><ref name="wombatmedium-4594" /><ref name="crlfinancearchive-4595" /><ref name="discussionsapp-4596" /><ref name="coinmarketcap-4597" /> | |||
== About Coral Finance == | == About Coral Finance == | ||
| Line 51: | Line 50: | ||
!Description | !Description | ||
|- | |- | ||
|September 9th, 2020 | |September 9th, 2020 | ||
|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 59: | Line 58: | ||
| | | | ||
|} | |} | ||
== 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 78: | Line 80: | ||
== 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 are a number of ways to prevent and mitigate this situation. It is far more secure to have the majority of funds in a multi-signature wallet where keys are stored offline by multiple operators. This would limit the potential loss to only those funds being actively needed. Audits can be used to reduce the risks on the hot wallets further, and we advocate at least 2 reviews would be required prior to a project launch. Having known platform operators would ensure a best effort is made to assist them, with a comprehensive industry insurance fund as a fallback in the worst case. | |||
== 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 == | ||
<references><ref name="slowmisthacked-3935">[https://hacked.slowmist.io/en/?c=EOS SlowMist Hacked - SlowMist Zone] (Nov | <references><ref name="slowmisthacked-3935">[https://hacked.slowmist.io/en/?c=EOS SlowMist Hacked - SlowMist Zone] (Nov 8, 2021)</ref> | ||
<ref name="slowmistmedium-1123">[https://slowmist.medium.com/slowmist-2020-blockchain-security-and-privacy-events-f5d47d3e4042 Slowmist 2020 Blockchain Security And Privacy Events] (Jun | <ref name="slowmistmedium-1123">[https://slowmist.medium.com/slowmist-2020-blockchain-security-and-privacy-events-f5d47d3e4042 Slowmist 2020 Blockchain Security And Privacy Events] (Jun 5, 2021)</ref> | ||
<ref name="wombatmedium-4594">[https://medium.com/wombat/beginners-guide-to-defibox-9f9c712f5a64 Beginners Guide To Defibox] (Dec | <ref name="wombatmedium-4594">[https://medium.com/wombat/beginners-guide-to-defibox-9f9c712f5a64 Beginners Guide To Defibox] (Dec 19, 2021)</ref> | ||
<ref name="crlfinancearchive-4595">[https://web.archive.org/web/20201025071822/https://crl.finance/ Coral Finance] (Dec | <ref name="crlfinancearchive-4595">[https://web.archive.org/web/20201025071822/https://crl.finance/ Coral Finance] (Dec 19, 2021)</ref> | ||
<ref name="discussionsapp-4596">[https://discussions.app/tag/Defibox #Defibox - Search] (Dec | <ref name="discussionsapp-4596">[https://discussions.app/tag/Defibox #Defibox - Search] (Dec 20, 2021)</ref> | ||
<ref name="coinmarketcap-4597">[https://coinmarketcap.com/currencies/eos/historical-data/ https://coinmarketcap.com/currencies/eos/historical-data/] (Dec | <ref name="coinmarketcap-4597">[https://coinmarketcap.com/currencies/eos/historical-data/ https://coinmarketcap.com/currencies/eos/historical-data/] (Dec 20, 2021)</ref></references> | ||
Latest revision as of 10:17, 2 May 2023
Notice: This page is a freshly imported case study from the original repository. The original content was in a different format, and may not have relevant information for all sections. Please help restructure the content by moving information from the 'About' and 'General Prevention' sections to other sections, and add any missing information or sources you can find. If you are new here, please read General Tutorial on Wikis or Anatomy of a Case Study for help getting started.
Notice: This page contains sources which are not attributed to any text. The unattributed sources follow the initial description. Please assist by visiting each source, reviewing the content, and placing that reference next to any text it can be used to support. Feel free to add any information that you come across which isn't present already. Sources which don't contain any relevant information can be removed. Broken links can be replaced with versions from the Internet Archive. See General Tutorial on Wikis, Anatomy of a Case Study, and/or Citing Your Sources Guide for additional information. Thanks for your help!
While there is limited information available online, the Coral Finance is another example where a project with a smart contract hot wallet was breached and user funds were lost. In this case, the exploit was related to the way EOS uses wRAM. It does not appear that anything was done to assist affected users in this case, as the project appears to have disappeared.
This is a global/international case not involving a specific country.[1][2][3][4][5][6]
About Coral Finance
"Earn Coral tokens by staking Tokens or providing liquidity." "In most cases, you will have to stake your LP tokens to receive rewards, like on Coral.network. If you stake your LP tokens, it means that you’re kind of renting out the rights to withdraw your liquidity to the platform. However, you can typically reclaim your LP tokens at any time if you want to get your liquidity back."
DefiBox Foundation released the following statement concerning Coral, “Coral Finance is independently developed by the community, it has completed multi-signature of contract and open source code. The Defibox Foundation appreciates this. Therefore, after the Coral Finance project contacted Defibox Foundation, we decided to support it.“
"The wRAM of the EOS ecological DeFi liquidity mining project Coral was attacked by hackers and lost more than 120,000 EOS."
"On September 10, the wRAM of the EOS ecological DeFi liquidity mining project “Coral” was attacked by hackers and lost more than 120,000 EOS."
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.
| Date | Event | Description |
|---|---|---|
| September 9th, 2020 | Main Event | Expand this into a brief description of what happened and the impact. If multiple lines are necessary, add them here. |
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 $334,000 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?
General Prevention Policies
There are a number of ways to prevent and mitigate this situation. It is far more secure to have the majority of funds in a multi-signature wallet where keys are stored offline by multiple operators. This would limit the potential loss to only those funds being actively needed. Audits can be used to reduce the risks on the hot wallets further, and we advocate at least 2 reviews would be required prior to a project launch. Having known platform operators would ensure a best effort is made to assist them, with a comprehensive industry insurance fund as a fallback in the worst case.
Individual Prevention Policies
No specific policies for individual prevention have yet been identified in this case.
For the full list of how to protect your funds as an individual, check our Prevention Policies for Individuals guide.
Platform Prevention Policies
Policies for platforms to take to prevent this situation have not yet been selected in this case.
For the full list of how to protect your funds as a financial service, check our Prevention Policies for Platforms guide.
Regulatory Prevention Policies
No specific regulatory policies have yet been identified in this case.
For the full list of regulatory policies that can prevent loss, check our Prevention Policies for Regulators guide.
References
- ↑ SlowMist Hacked - SlowMist Zone (Nov 8, 2021)
- ↑ Slowmist 2020 Blockchain Security And Privacy Events (Jun 5, 2021)
- ↑ Beginners Guide To Defibox (Dec 19, 2021)
- ↑ Coral Finance (Dec 19, 2021)
- ↑ #Defibox - Search (Dec 20, 2021)
- ↑ https://coinmarketcap.com/currencies/eos/historical-data/ (Dec 20, 2021)