Vee Finance (a platform for decentralized finance) seems to have turned out to be the latest prey to DeFi exploit this year. There is not much detail provided about the subject; however, an alert has been tweeted by Vee Finance that mentioned the exploitation of the protocol on 20th September. They stated that the respective platform had been unexpectedly exploited. It further informed that the entire of the services thereof had been halted for now. The officials recommended the consumers follow their authorized accounts to get fresh updates regarding the matter.
In the following tweet, a fraudulent contract had been shown, and a promise was made about the publication of the official investigation over the incident in the nearest possible time. The report published on 21st September revealed that a sum of 8804.7 in ETH (approximately $26.2 million), as well as 213.93 in BTC (nearly $9M), was included in the stolen amount.
A term for Avalanche exploitation
Crypto investigators delved deep into the potentially involved addresses and predicted that more than $30 million could be the amount of the exploited assets. However, the sum was roughly $35 million. The Telegram channel of Vee Finance was consecutively in contact with the investors that were increasingly concerned regarding a likely rug pull. Only a day before, a DeFi protocol (which is based on Avalanche) had issued a “blog post” to assert that the cumulative value thereof was locked at $300 million. The token airdropping and their promotion with promises (that almost 600% amount under VEE/AVAX liquidity mining pools would be available) had been carried out by Vee Finance.
Vee Finance has an objective of filling the gap between DeFi and traditional finance along with giving better services to its customers regarding virtual asset management. The cross-chain borrowing and lending platform had finished its seed and private funding rounds through Avalanche Asia, Huobi-Ventures-Blockchain-Fund, and several other firms for venture capital. The deposit and smart contracts funds of Vee Finance have been suspended to guarantee the protection of the existing funds.
Vee token value tank
Expectedly, the local VEE token of the platform has been tanked throughout the recent few hours. The prices of VEE, after its high of up to $0.235 on 21st September, have plunged about 45%, making it trade at $0.128, as per GoinGecko. After this exploit, the token has in advance slumped by 85% after its all-time high at $0.854 on 18th September.