Pendle derivative protocol Penpie hacked, loses 27 million euros, PNP token plunges 40%

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Penpie Protocol Hacked, Millions of Dollars Lost

The decentralized finance (DeFi) protocol Penpie, built on the tokenized yield platform Pendle, was hacked on Wednesday. According to blockchain data, the hack resulted in approximately $27 million worth of cryptocurrency assets being stolen, including various staked assets like Ethereum (ETH) and Ethena's sUSDe.

Hacker Transferred Assets to New Address

According to Etherscan data, the hacker primarily converted the stolen assets to ETH through Li.fi and eventually moved the assets to a new address. The hacker initially injected 10 ETH, approximately $25,000, through the privacy mixer Tornado Cash and launched the attack hours later.

Pendle Temporarily Paused Contracts for Security Assurance

Pendle platform confirmed the security breach in the Penpie protocol and stated they would closely communicate with the Penpie team. Pendle emphasized that investors' funds on their platform are safe but temporarily halted all contract operations as a precautionary measure. Normal operations resumed around 9 a.m. Taiwan time, ensuring risk controls within the Penpie protocol.

PNP Token Plummets, Pendle Price Affected

The native token of Penpie, PNP, suffered a sharp 40% drop in price due to the attack. Data shows that the Pendle token PENDLE also plummeted over 8% in the past 24 hours.

DeFi protocols often become targets for hackers and vulnerabilities, and this attack on Penpie once again highlights this issue. According to a De.fi report, digital asset users have collectively lost around $2 billion to hackers, scams, and exploits since 2023. These events underscore the security challenges faced by DeFi protocols and call for the industry to enhance protective measures to safeguard user funds.