Hong Kong-based DeFi protocol Linear Finance reported an attack on Thursday that drained liquidity of its Linear USD token.
"The Linear Finance protocol was subject to an attack that resulted in the draining of all ℓUSD liquidity on both PancakeSwap and Ascendex, resulting in the price of ℓUSD going to zero," Linear Finance wrote in a"The attacker was able to mint an unlimited supply of ℓAAVE and subsequently traded the liquid asset to ℓUSD on the Linear Exchange, prior to selling it on PancakeSwap and Ascendex.
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