Main navigation

Tether Freezes $1.7 Million Stolen by Yearn Finance Hacker

News
Fri, 02/05/2021 - 14:51
article image
Alex Dovbnya
Stablecoin issuer Tether has frozen $1.7 million worth of USDT stolen in a recent Yearn Finance exploit
Tether Freezes $1.7 Million Stolen by Yearn Finance Hacker
Cover image via stock.adobe.com
Read U.TODAY on
Google News

Stablecoin issuer Tether has frozen $1.7 million worth of USDT tokens linked to the recent Yearn Finance hack, according to a tweet posted by CTO Paolo Ardoino.

On Feb. 4, one of the DAI lending pools of the leading DeFi platform was exploited by a bad actor, resulting in an $11 million loss. The hacker—who successfully pulled off a flash-loan attack—reportedly pocketed $2.8 million.

The native Yearn.Finance (YFI) token is now trading in the green after dipping below $30,000 yesterday.

YFI
Image by tradingview.com

Related
Tether Recovers 1,000,000 USDT for User Who Sent It to Wrong DeFi Address, Here’s What Happened

A double-edged sword

Tether has to assist law enforcement by freezing USDT tokens or reversing transactions on Ethereum or Tron to prevent criminals from cashing out their ill-gotten tokens.

Last September, Tether froze $33 million worth of funds that were stolen from the KuCoin exchange during its $281 million hack.

While certainly benefiting the victims of hackers and scammers, this ability also attracts criticism from those who are concerned about the stablecoin's centralization.

article image
About the author

Alex Dovbnya (aka AlexMorris) is a cryptocurrency expert, trader and journalist with extensive experience of covering everything related to the burgeoning industry — from price analysis to Blockchain disruption. Alex authored more than 1,000 stories for U.Today, CryptoComes and other fintech media outlets. He’s particularly interested in regulatory trends around the globe that are shaping the future of digital assets, can be contacted at alex.dovbnya@u.today.