Pump.Fun, a Solana-based platform for launching tokens, has been exploited, resulting in a loss of about $2 million. <\/span><\/p>\n The attacker used flash loans to the platform\u2019s bonding curve contracts, thus undermining the token launch mechanism.\u00a0<\/span><\/p>\n <\/p>\n The attacker exploited Pump.Fun\u2019s bonding curve contracts with the help of flash loans<\/a>, a method that allows borrowers to borrow large sums of money without any collateral on condition they return it within one transaction. By leveraging these flash loans, the attacker was able to acquire enough SOL to buy out the bonding curves for Pump.fun memecoins, leading to financial losses for the platform.\u00a0<\/span><\/p>\n https:\/\/t.co\/oZFiUGCehw<\/a><\/p>\n \u2014 Igor Igamberdiev (@FrankResearcher) May 16, 2024<\/a><\/p>\n <\/p>\n<\/blockquote>\n Igor Igamberdiev, the head of research at Wintermute, says that they lost nearly 12,300 SOL, which is about $2 million.<\/span><\/p>\n Pump.fun, consequently, acknowledged the breach in a social media post on X (formerly Twitter), stating, <\/span><\/p>\n \u201cWe know that the Pump.fun bonding curve contracts have been compromised, and we are investigating the matter.\u201d <\/span><\/p>\n<\/blockquote>\n The team, in addition, assured users that they had updated their contracts to prevent further exploitation and that TVL and connected wallets remain safe.<\/span><\/p>\n In response to the attack, Pump.fun has paused all trading activities on the platform. As a result, the team said, <\/span><\/p>\n \u201cWe have stopped trading \u2014 you cannot buy and sell any coins. Any coins that are currently in the process of migrating to Raydium will not be able to be traded and they won\u2019t for an indefinite period.\u201d <\/span><\/p>\n<\/blockquote>\n They stressed that encrypted liquidity on Raydium is safe and unaffected by this exploit.<\/span><\/p>\n <\/p>\n The Pump.fun team is working with law enforcement and other parties to investigate the breach and find out who did it. The event has led to the debate about whether a private key compromise could be behind it, although this is only speculative. Igamberdiev hinted that it could have been an inside job, judging by the way the exploit was executed.<\/span><\/p>\n A social media user named \u2018Stacc\u2019 has admitted<\/a> to the exploit. In a series of posts, Stacc depicted the assault as an action of protest rather than a way to make money. He hinted at his troubles and the fact that he had recently lost his mother, thus implying that what made him act was emotional distress.<\/span><\/p>\n \u201d I\u2019m going to be the one that will change the course of history,\u201d he wrote, thus showing his determination to disrupt the memecoin space on Solana.<\/span><\/p>\n Stacc\u2019s intentions are multiple. He did not show any intention to make money out of the stolen funds. On the other hand, he proposed moving the rest of the bonding curve balances to different token users. This, in turn, has made the situation even more complicated because of the uncertainty about where and how such assets will be discovered and recovered.<\/span><\/p>\n Pump.Fun is made to facilitate the process of making and releasing new tokens on the Solana<\/a> blockchain. The platform\u2019s special feature lies in the fact that it prevents \u2018rug pulls\u2019 by guaranteeing the safety of all created tokens, with no presale or team allocation. <\/span><\/p>\n <\/p>\n The users can mint new tokens for a small fee and trade them on the bonding curve, which determines the price of the token based on its supply.<\/span><\/p>\n The platform has become quite popular, and it registered the highest daily revenue of $1. 23 million on May 14, just two days before the exploit. Pump.Fun charges users almost 0. 02 SOL (approximately $3. 16 at the current prices) to mint a new token. <\/span><\/p>\n Tokens that hit the $69,000 market cap are then deposited by a worth of $12,000 liquidity onto Raydium, which is a Solana-based decentralized exchange, before they are burned.\u00a0<\/span><\/p>\n Read Also:<\/strong> GameStop (GME) Down 30%, What Happened To The Meme Stock Frenzy?<\/a><\/p>\n <\/p>\n <!– <\/p>\n –><\/p>\n \u2713 Share:<\/p>\n <\/a><\/p>\n <\/a>\n <\/div>\n<\/p><\/div>\n<\/p><\/div>\n <!– <\/p>\n <\/p>\n <\/a><\/p><\/div>\n<\/p><\/div>\nExploitation of Pump.fun Bonding Curve<\/h2>\n
\n
\n
Security Measures and Trading Suspension<\/h2>\n
\n
Attacker Identified as \u2018Stacc\u2019<\/h2>\n
Overview of Pump.fun\u2019s Operations<\/h2>\n
![\"\"](\"https:\/\/cdn.coingape.com\/wp-content\/uploads\/2022\/12\/15175104\/top_crypto_marketing_agencies.jpg\")
<\/div>\n
![\"\"](\"https:\/\/cdn.coingape.com\/wp-content\/uploads\/2022\/12\/23134356\/jpg_20221223_134223_0000.jpg\")
<\/div>\n![\"\"](\"https:\/\/secure.gravatar.com\/avatar\/619e02617eb852ad0eef520ae989a259?s=200&d=mm&r=g\")
![\"5](\"https:\/\/coingape.com\/wp-content\/uploads\/2024\/03\/cropped-GettyImages-1556780583-bb9b6dd6fddd47e1b1453cb82cea5bb0.jpg\")
<\/div>\n![\"ChatGPT's](\"https:\/\/coingape.com\/wp-content\/uploads\/2023\/03\/cropped-chatgpt-cute-robot_11zon.jpg\")
<\/div>\n![\"5](\"https:\/\/coingape.com\/wp-content\/uploads\/2023\/01\/cropped-shutterstock_1958528764_10.jpg\")
<\/div>\n