UwU Lend drained for $3.7 million in second exploit this week

Decentralized lending protocol UwU Lend was hacked for $3.7 million today, according to blockchain security firms Beosin and Blocksec.

This exploit marks the second time UwU Lend has been compromised this week via flash loans, with security analysts attributing both attacks to the same perpetrator.

The stolen $3.7 million in assets currently sits in the attacker’s wallet address after being converted to ether.

The lending protocol was attacked the first time on June 10, which led to a loss of $20 million. Beosin identified the prior incident as a flash loan exploit that manipulated the price oracles of sUSDe stablecoin on the platform.

UwU Lend had acknowledged the first exploit and provided an additional update the following day, stating it had identified and resolved the security vulnerability. The protocol claimed the vulnerability was unique to the sUSDe market oracle.

UwU Lend was established by Michael Patryn, who has also operated under the aliases Omar Dhanani and 0xSifu. Patryn had co-founded QuadrigaCX, a cryptocurrency exchange that ultimately collapsed amidst allegations of fraud.

The lending protocol did not immediately respond to The Block’s request for comment.