Curve Finance: Investigation into sDOLA LlamaLend attack initiated; attacker profits are limited

Odaily Planet Daily reports that Curve Finance announced on X platform that it has initiated an investigation into the sDOLA LlamaLend attack, which is suspected to have caused a loss of approximately $240,000. Preliminary findings suggest that the attack was related to the price oracle mechanism used by sDOLA (possibly influenced by a “donation attack”) and the number of sDOLA tokens not used as collateral in the market. Although the attacker’s profit was relatively limited, the incident highlights the need for stricter handling when using vault collateral assets in LlamaLend. The main impact was on users who borrowed against sDOLA collateral, who were liquidated; lenders who provided funds were not affected. The Curve team is further investigating whether other similar markets might be at risk in the future and is working to ensure that LlamaLend V2 remains secure even when facing vault collateral assets vulnerable to donation attacks, across different market sizes. They are currently evaluating detailed solutions and plan to integrate relevant mechanisms into all future markets that use vault collateral.

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