Stablecoin aUSD Depegs as Hacker Exploit Bug to Issue 1.3 Billion Tokens

aUSD, the native stablecoin of decentralized finance (DeFi) platform Acala depegged on Sunday.

aUSD fell 99% after hackers exploited a bug in a newly-deployed liquidity pool to mint 1.28 billion tokens.

The Acala team, after noticing the exploit, disabled the transfer functionality of the “erroneously minted aUSD” remaining on the Acala parachain.

A wallet believed to belong to the attacker still contains approximately 1.27 billion aUSD.

The attacker who minted 1.28 billion aUSD was not the only person to take advantage of the bug, On-chain data shows.

Several other users allegedly stole thousands of dollars worth of DOT from the liquidity pool.

aUSD successfully held its soft peg to the U.S. dollar until the hack.

After the attack, the price of aUSD plunged from roughly $1.03 per token to $0.009.

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