What is the Beanstalk exploit?

The Beanstalk exploit was made possible by another DeFi mechanism known as a “flash loan,” which allows users to borrow large amounts of cryptocurrency for very short periods of time.

What happened to Beanstalk?

In April 2022, Beanstalk, an Ethereum-based stablecoin protocol, was the victim of an attack targeting its governance protocol. The attacker stole $181 million from the project but only kept $76 million of the stolen assets. Beanstalk uses a decentralized governance protocol.

Did Beanstalk get jacked by a giant flash attack?

Beanstalk got jacked by a giant flash attack. Beanstalk. Image: Shutterstock In the fourth-largest decentralized finance (DeFi) exploit to date, a hacker reportedly used a flash attack to take $182 million in Ethereum, BEAN stablecoin, and other assets from the Beanstalk stablecoin protocol over the weekend.

How does Beanstalk work?

Beanstalk uses a decentralized governance protocol. This includes an emergencyCommit function where it can be approved by a supermajority (2/3 vote) and implemented after 24 hours rather than going through the standard process. The Beanstalk attack was carried out via two malicious Beanstalk proposals .