Skyward Finance, an IDO platform built on the NEAR blockchain, suffered a $3 million exploit that caused its token to shatter by 88%.

At round 7:20 pm ET on Nov. 2, the Skyward Finance physique of workers notified users that the Treasury had been drained in a gorgeous contract exploit. The physique of workers became as soon as hit onerous by the attack, announcing the hack rendered the complete Treasury and its native token SKYWARD “effectively nugatory.”

Person funds were uncompromised by the hack. Skyward stated that recent and outdated token sales were unaffected by the exploit, relieving token sale participants.

“The contracts are completely locked, that arrangement that no one can cease or fracture future considerations with the $SKYWARD token – no longer even us. We recommend users to withdraw their funds safely the keep they’ll and for the community to no longer contain interaction with Skyward,” tweeted the Skyward physique of workers.

The malicious on-chain activity became as soon as first observed by a member of the NEAR community who goes by “Discontinuance to Scout” on Twitter. After noticing the Treasury drain, he contacted Aurora Lab’s community moderator, Sanket Naikwadi, who confirmed the exploit and alerted the protocols concerned.

Naikwadi became as soon as also the first to allotment the details on Twitter, a complete lot of hours sooner than Skyward Finance issued its bear assertion addressing the problem. In conserving with his prognosis, the hacker withdrew 1.1 million NEAR tokens, value about $3 million on the time.

The hacker reportedly initiated the attack by procuring SKYWARD tokens on DeFi platform Ref Finance and then redeeming it for NEAR through the Skyward Treasury for a much elevated price than it became as soon as indubitably value.