Balancer, a decentralized finance protocol built on the Ethereum blockchain, is cautioning its users to refrain from visiting its website due to a recent attack on its front-end interface.
The platform communicated this warning to its community on September 19th at 11:49 pm UTC, strongly advising users not to engage with the Balancer user interface until further notice.
While Balancer is actively investigating the specifics of the attack, the company has not issued an official statement regarding the potential impact on user funds. However, Balancer contributor Cosme Fulanito has reportedly assured that Balancer’s vault remains completely secure.
Blockchain security firms, such as PeckShield, and blockchain analyst ZachXBT, have estimated that approximately $238,000 in cryptocurrency has been stolen as a result of this attack.
Numerous users have reported encountering a troubling issue when interacting with the website. They have been prompted to approve a malicious contract that siphons funds from their wallets.
Users attempting to access the Balancer website are met with a warning sign:
This marks the second security breach targeting Balancer within a month, following a prior warning of a critical vulnerability on August 22nd. Unfortunately, Balancer fell victim to an estimated $2 million exploit associated with this vulnerability just a few days later.
On August 27th, the Balancer protocol’s team posted an announcement acknowledging the existence of an exploit linked to the aforementioned vulnerability. They explained that although recent mitigation efforts had significantly reduced the associated risks, it was not possible to pause affected pools. As a precautionary measure, users were advised to withdraw from these affected liquidity pools to prevent further exploits.