DeFi protocol built on the Base blockchain, BaseBros DeFi, vanished from the internet after scamming its users using an unaudited smart contract to steal their investments. On Sept. 13, BaseBros shut down its official website and erased its accounts on X and Telegram.
A blockchain security firm, Chain Audits, reviewed some of BaseBros’ smart contracts and discovered that the DeFi project had pulled a rug pull using an “unaudited and unverified Vault contract.” Before it shut down, BaseBros had around 2,000 followers on X and more than 3,300 members on Telegram.
ChainAudits reported that it had reviewed four out of the five smart contracts used in the BaseBros project. However, they added that the contract involved in the rug pull (Vault Contract) was not part of their audit nor verified on the blockchain.
Euler hacker returns funds, praises Penpie
The unaudited contract had a hidden flaw that let the company owners withdraw money from the ‘Strategy’ contract whenever they wanted. Initially, people mistakenly thought the rug pull affected the Seamless protocol because of similar contract labels. However, blockchain investigator Cyvers found that the thief funneled $130,000 in stolen funds through the crypto mixing service Tornado Cash.
Seamless recently completed an internal review and assured that their protocol and investors’ funds are secure from attacks. Chain Audits also verified that BaseBro DeFi was the only protocol impacted, having lost funds from several pools.
Recently, a well-known hacker praised the person behind the $27 million hack of the DeFi protocol Penpie. The Penpie hacker got a shout-out from the Euler Finance hacker, who swiped $195 million in Mar. 2023.
Nice work, man. It’s been a while since I saw a hack like this. I’m glad you kept all the loot and didn’t let those guys get a single dollar back. You came out on top. Great job.
However, the hacker from Euler Finance gave back 90% of the stolen funds, asking for legal immunity and a 10% reward in return.
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