Suche
Mein Konto
Tornado Cash Attacker Submits Proposal to Restore Governance Control, TORN Down 40% in 2 Days
Popular crypto mixer Tornado Cash lost complete control of its governance to an attacker who used a malicious contract to obtain thousands of votes. The incident was first discovered over the weekend by @samczsun, a researcher at Web3-focused investment firm Paradigm. According to Samczsun tweet, the attacker claimed to have used the same logic as a previously passed proposal when creating his malicious proposal, without disclosing that he had added any additional feature. However, in a more recent development, the attacker has “released a new government restoration proposal,” according to a post on the mixer’s community forum. …
Tornado Cash Attacker Submits Proposal to Restore Governance Control, TORN Down 40% in 2 Days
Popular crypto mixer Tornado Cash lost complete control of its governance to an attacker who used a malicious contract to obtain thousands of votes. The incident was first discovered over the weekend by @samczsun, a researcher at Web3-focused investment firm Paradigm.
According to Samczsun tweet The attacker claimed to have used the same logic as a previously passed proposal when creating his malicious proposal, without disclosing that he had added any additional functionality.
However, in a more recent development, the attacker has “released a new government restoration proposal,” according to a post on the mixer’s community forum.
The TornadoCash attacker introduced a new proposal that, if executed, would seemingly undo the damage done to governance functionality. Either this is giga-trolling, or it will end up being an expensive but not disastrous lesson in governance security.https://t.co/QMWYFsi8kP
— 0xdeadf4ce (@0xdface) May 21, 2023
Attacker seizes Tornado Cash Governance
Immediately after Tornado Cash voters approved the proposal, the exploiter implemented the EmergencyStop feature and updated the proposal logic to grant itself 1.2 million fake votes. The attacker has more than 700,000 legitimate votes, so he has gained full control over the governance of the crypto mixer.
With complete control, the attacker can do whatever he wants, e.g. E.g. revoke all locked votes, drain all tokens in the governance contract and block the router. However, they cannot drain individual basins.
"In conclusion: What can we learn from this? Be careful what you vote for! While we all know that offer descriptions can lie, offer logic can lie too! If you rely on the verified source code to stay the same, ensure that the contract does not have the ability to self-destruct," Samczsun warned.
Over $2.1 million in TORN tokens stolen
According to a tweet from Web3 Media Group, shortly after taking over the contract with Tornado Cash, the exploiter withdrew 473,000 TORN - the mixer's native token - worth more than $2.1 million from the governance contract @WhaleCoinTalk. The malicious actor sold the assets on-chain and deposited the profits back into Tornado.
Tornadosaurus-Hex, an active member of the Tornado Cash community, confirmed that the attack had compromised all funds in governance and called on all members to withdraw their assets secured in the contract.
While Tornadosaurus-Hex is pushing users to withdraw their funds, it has also attempted to provide a contract that could reverse the changes.
"A proposed solution to the attack that may be viable is to directly undo the state changes the attacker made to the contract. That's why I've provided a contract that should do exactly that. Please review it and suggest it if possible. Let's see if we can do it, otherwise we're screwed I'd say," the community member said.
Somewhat expectedly, the project's native token crashed after the news surfaced. TORN jumped to $7.3 on May 20, but lost about 40% of its value in the following days and is now at $4.5.
.