Lien Finance suffered an attack resulting in a loss of approximately $542,000, with the attacker exploiting a vulnerability to steal USDC.

Odaily reported, according to SlowMist monitoring, that the decentralized finance protocol Lien Finance was attacked. The attacker exploited a smart contract vulnerability to mint unsecured bond tokens and stole approximately 542,000 USDC. By leveraging this loophole, the attacker was able to successfully mint new, non-abnormal BondTokens without destroying the corresponding input bonds, and exchanged them for USDC through a pre-authorized address, ultimately transferring about 542,144.63 USDC from the victim's address. Analysis indicates that the incident was essentially caused by a flaw in the bond token redemption logic, allowing the attacker to bypass asset collateral constraints and mint tokens without backing assets.