Compound bug puts $162 million worth of COMP at risk

The vulnerability comes connected the backmost of a bug successful the protocol's declaration that saw implicit $80 cardinal worthy of COMP erroneously distributed to Compound Finance users

Compound (COMP) tokens worthy astir $162 cardinal were astatine hazard of being drained from the decentralised concern (DeFi) platform's reward Reservoir pursuing a faulty contract.

The bug resulted from a telephone to the "drip function", with malicious actors capable to exploit the vulnerability to siphon thousands of COMP tokens.

The Compound protocol adds COMP to the Reservoir declaration astatine a complaint of 0.50 COMP each block, but a bug meant thousands of tokens were sent astatine once.

According to Compound laminitis Robert Leshner, the drip relation had not been called successful weeks and developers hoped the adjacent telephone would travel changes to the protocol meant to efficaciously forestall specified exploits from occurring again.

Over 202,000 COMP were released aft the drip relation call, with 490,000 COMP tokens astatine risk, according to an update Leshner tweeted connected 3 October. 

As per the COMP/USD speech worth astatine the clip of the exploit, astir $162 cardinal worthy of the token was astatine hazard of being drained from the Reservoir.

Although astir 117,000 COMP tokens person been returned to the assemblage aft the archetypal error, determination are 136,000 tokens inactive astatine hazard of being claimed by savvy users. DeFi developer Banteg noted aboriginal Monday greeting that 4 users had managed to instrumentality $21.5 cardinal retired of the liquidity reward excavation portion different 5 could exploit the bug for implicit $45 cardinal worthy of COMP.

The terms of COMP has declined 5% successful the past 24 hours to commercialized astir $320 aft dipping connected the quality of the hack. While bulls are looking to reclaim intraday highs of $341, the anticipation of going towards enactment astir $310 remains high. 

COMP/USD traded arsenic precocious arsenic $367 implicit the weekend.