Ethereum
Ethereum Restaker Renzo Reports Discord Violation
Renzo, a liquid Ethereum re-staking platform, was the latest defi operator to report a compromise on July 22.
According to a community alert, malicious actors diverted The Renzo Protocol Discord server was attacked on Monday and malicious links were posted in an apparent phishing attempt. Renzo warned members to refrain from interacting with posts or messages sent by anyone until further notice. At press time, it was unclear whether users had suffered losses or if the hackers had stolen funds.
Renzo’s native token, REZwas unaffected by the news. The cryptocurrency posted a slight increase of 0.7%, while several digital assets saw modest declines.
Community Alert: Renzo’s Discord Server Breached
Our Renzo Discord server has been compromised by malicious actors. Please refrain from clicking on any links posted on the server.
At this time, consider all messages and links from server administrators as potentially dangerous. Consider all…
— Renzo (@RenzoProtocol) July 22, 2024
Liquid re-staking (LST) protocols hold over $14 billion in user deposits per DefiLlama. These platforms gained popularity due to the discourse around EigenLayer, a defi tool that allowed users to earn additional yield and secure other networks using staked Ether (stETH).
Despite a 44% drop in the last 30 days, Renzo remains the second largest liquid restaking provider in the market.
Bad Actors Target Renzo and Defi
The LST platform is one of many defi solutions facing a wave of hacking attempts. Late last year, scammers stole nearly a million dollars through a fake Across Protocol Discord server.
Bad actors imitated CertiK’s Discord link for a phishing campaign and criminals stole over $6 million in cryptocurrencies using social media platforms like X last September. More recently, hackers targeted defi domains in a widespread attack on registrar Squarespace. Major protocols Celer Network and Compound Finance were impacted before the problem is resolved.