PancakeSwap DNS Hijack

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PancakeSwap

PancakeSwap runs a decentralized exchange platform. However, most users interacting with it use a central website.

This website was compromised through DNS, meaning that the domain name redirected traffic to a different server run by the attacker. According to information from Cream Finance, the attack was performed by compromising GoDaddy.

The attacker put up a website which attempted to trick users into providing their private key information. It's not known how many users fell for this.

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

About PancakeSwap

"PancakeSwap is a decentralized exchange (DEX) on the Binance Smart Chain (BSC), which uses permission less liquidity pools run by algorithms. This creates what is known as an automated market maker (AMM)."

"Earlier today, a similar service called Cream Finance said its DNS (domain name service) had been "compromised by a third party." PancakeSwap’s Twitter account then confirmed that it had been attacked through the same mechanism."

"Your funds are only at risk if you enter your private key or seed phrase into the hijacked site." "DO NOT go to the Pancakeswap site until we confirm it is all clear. NEVER EVER input your seed phrase or private keys on a website."

"We have regained access to the DNS. Some users might still be affected, depending on their DNS resolution as some propagation time may be needed."

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.

Key Event Timeline - PancakeSwap DNS Hijack
Date	Event	Description
March 15th, 2021 12:00:00 AM	First Event	This is an expanded description of what happened and the impact. If multiple lines are necessary, add them here.

Total Amount Lost

The total amount lost is unknown.

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

It is unknown how much was recovered.

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

In general, most users are educated against entering their seed phrase on any website, DNS hijacking incidents are relatively rare, and only a small portion of platform users would interact with the platform site while the event happens.

This type of situation is likely best dealt with through education for users, better training for platform operators regarding the proper domain name security, and having a fund set up to assist users in case of loss events.