JulSwap Wasn't Hacked
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When it comes to handling exploits, lots of platforms do different things. Some disappear. Some issue a statement and refuse to help affected users. Some do what they can. A few make right to their users. The JulSwap platform is one of the few who claim they weren't breached, despite the evidence clearly on the blockchain. Despite their insistence they did nothing wrong, volume and liquidity seem to be down lately.
This is a global/international case not involving a specific country.[1][2][3][4][5][6][7][8][9][10][11][12][13][14][15]
About JulSwap
"JulSwap is a community-centric decentralized exchange that helps crypto projects raise liquidity by conducting IDOs, organizing staking pools, and conducting liquidity mining in a decentralized fashion through the innovative power of JULD tokens." "JulSwap is the equivalent of Uniswap on the Binance Smart Chain. JulSwap offers the same Trading Engine and analytics as Uniswap and some additional features from Sushiswap."
"Are you running a small/medium crypto based project, but can't grow your business owing to high Etherium Gas Fee and slow transactions?!" "With JulSwap, joining the Binance Smart Chain is fast & simple. Just follow these simple steps and soon your project* can have its own BEP20 Token on the Binance Smart Chain and be traded on JulSwap."
"Flash Loan AttackA hacker exploited JulSwap with a flash loan attack to gain 4k JULb tokens. The price of JULb tokens dropped 75% after the hacker swapped all JULb tokens to BNB."
"The JulSwap of the DEX protocol and the automated liquidity protocol on the BSC chain was attacked by lightning loans, and $JULB fell more than 95% in a short time."
The founder "investigated the dump tonight on Jul. it’s seems it was the same Situation as some other projects experienced in the last weeks due to an flash loan. There is NO hack or exploit!"
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 |
|---|---|---|
| May 27th, 2021 | 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 $181,000 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
In general, many smart contract exploits occur because the contract relies on a limited market place to determine the price of an asset.
By instead relying on a proper oracle, this particular exploit could be avoided.
In a more general solution, storing the majority of funds in an offline multi-signature arrangement would keep them safe. Smart contracts should be thought of similarly to hot wallets.
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
- ↑ Example Domain (Mar 23, 2021)
- ↑ CertiK Blockchain Security Leaderboard (Jun 1, 2021)
- ↑ @julswap Twitter (Jun 13, 2021)
- ↑ @tg_cryptos Twitter (Jun 13, 2021)
- ↑ Binance Transaction Hash (Txhash) Details | BscScan (Jun 13, 2021)
- ↑ JustLiquidity Binance price today, JULB live marketcap, chart, and info | CoinMarketCap (Jun 13, 2021)
- ↑ Social Network for Programmers and Developers (Jun 14, 2021)
- ↑ JulSwap Listing on AscendEX – Press release Bitcoin News (Jun 14, 2021)
- ↑ JulSwap Vision (Jun 19, 2021)
- ↑ SlowMist Hacked - SlowMist Zone (May 18, 2021)
- ↑ blocksec-incidents/2021.md at main · openblocksec/blocksec-incidents · GitHub (Aug 11, 2021)
- ↑ Julswap V2 Upgrading Its Oracle Mechanism To Chainlink (Aug 11, 2021)
- ↑ @mudit__gupta Twitter (Aug 11, 2021)
- ↑ @peckshield Twitter (Aug 11, 2021)
- ↑ @WatchPug_ Twitter (Aug 11, 2021)