Summary of DeFi Rug Pull Incident on Base Blockchain:
- BaseBros Fi, a DeFi yield optimization protocol on Base blockchain, disappeared, allegedly rug-pulling investors.
- Rug pull details involve an unaudited smart contract with a backdoor used to drain user funds.
- Attackers funneled stolen funds through Tornado Cash, a crypto-mixing service, to obscure the trail.
- Similar incident with ETHTrustFund project on Base network resulting in $2 million investor losses.
BaseBros Fi Rug Pull Incident:
BaseBros Fi, a DeFi protocol built on Base blockchain, vanished abruptly, leaving investors unable to recover over $130,000 in funds. The project removed its website and social media presence, indicating a rug-pull scenario, where user deposits were drained due to vulnerabilities in unaudited smart contracts.
Rug Pull Vulnerabilities in Decentralized Finance:
Smart contracts, central to DeFi platforms, automate financial operations without intermediaries but can be exploited if unaudited. The vulnerability in BaseBros’ Vault Contract allowed the team to steal user funds without detection, showcasing the risks associated with unaudited contracts in decentralized finance.
