Crypto lending protocol team Sonne Finance announced that it lost at least $20 million because an attacker was able to exploit a vulnerability in some smart contracts.

The protocol has suspended all operations on Optimism Ethereum until further notice.

The Cyvers Alerts observer clarifies: the unknown attacker first withdrew about $3 million from the protocol, and after completing the first stage, he resumed the attack and stole about another $17 million. Thanks to the exploit, the attacker withdrew funds using a pair of Circle (USDC) and Wrapped Ether (WETH). Collectively, the Sonne Finance crypto lending protocol may have lost over $20 million worth of USDC and WETH assets.

The decentralized lending protocol Sonne Finance is a fork of Compound Finance 2 (V2), which has as yet unfixed vulnerabilities. In this regard, the assets of other Compound forks, such as LayerBank, Mendi Finance, Orbit on Blast, Ionic and Iron Bank, may be in potential danger.

The day before, the decentralized exchange Equalizer suffered a hacker attack. In response to the hack, Equalizer management asked users to temporarily stop all interactions with the trading platform.