- SafeDollar has just suffered an exploit, the crypto announced on its Telegram.
- The announcement said to instantly stop all activities.
- The value of the stablecoin fell to zero.
As per the latest reports, SafeDollar which is based on Polygon has just been hit by an exploit. The protocol announced the incident on its Telegram channel.
The announcement stated that SafeDollar has paused all activities. Further, it said that investigations are underway. The DeFi protocol, which is an algorithmic stablecoin, plummetted to a value of zero following the attack.
“SafeDollar has been under attack. We have paused activities on SafeDollar and investigating the matter. IMPORTANT: PLEASE STOP ALL TRADING RELATED TO $SDO. We will announce the post-mortem after the investigation done with compensation plan for Liquidity Providers,” — SafeDollar Announcement
While there’s not a lot of info to work with right now, the exploit used Tether and USD coin. Polygonscan shows crypto assets worth around $248 million drained in USDT and USDC all of a sudden. To clarify, 202 million USDC and 46 million USDT went missing.
Moreover, the incident was first reported by DeFi analytics websites DeFiPrime and RugDoc. SafeDollar however, has not announced the exploit on it Twitter account.
Of note, this SDO exploit is not a one-off incident. Just last week, SafeDollar developers published a “Postmortem Analysis”. This was in reference to an exploit that caused a loss of 9,959 SDS tokens, valued at around $95,000 at the time.