Bitcoin
$63,706.13+5.66%
Ethereum
$3,053.79+5.18%
Binance Coin
$556.79+5.14%
Solana
$142.11+8.52%
XRP
$0.50555816+6.51%
Dogecoin
$0.15549873+9.92%
Toncoin
$6.12-2.62%
Cardano
$0.47795450+11.38%
Shiba Inu
$0.00002311+9.24%
Avalanche
$34.95+7.87%
Wrapped Bitcoin
$63,884.19+7.11%
Tron
$0.11030934+4.29%
PlayIconNav
Crypto Prices CoinDesk 20 Index CoinDesk 20 Index

Opinion

So Now They’re Hacking DeFi Protocols Before They’ve Even Launched?

When the DeFi degens caught wind of a new pre-release Andre Cronje project they piled in, only to get $16 million hacked away in a flash.

By Nathaniel Whittemore
AccessTimeIconSep 29, 2020 at 9:00 p.m. UTC
Updated Sep 14, 2021 at 10:02 a.m. UTC
AccessTimeIconSep 29, 2020 at 9:00 p.m. UTCUpdated Sep 14, 2021 at 10:02 a.m. UTC
Breakdown 9.29
AccessTimeIconSep 29, 2020 at 9:00 p.m. UTCUpdated Sep 14, 2021 at 10:02 a.m. UTC

When the DeFi degens caught wind of a new pre-release Andre Cronje project they piled in, only to get $16 million hacked away in a flash.

For more episodes and free early access before our regular 3 p.m. Eastern time releases, subscribe with Apple Podcasts, Spotify, Pocketcasts, Google Podcasts, Castbox, Stitcher, RadioPublica, iHeartRadio or RSS.

This episode is sponsored by Crypto.com, Bitstamp and Nexo.io.

DeFi is one of the breakout crypto categories of 2020. Indeed, yield farming and the grand game of “money legos” has been so profitable that many are following every new protocol with rapt attention. 

This is all the more true for projects graced by YFI creator Andre Cronje. So when word got out about a new, pre-release game economy engine called “Eminence,” the DeFi degens took advantage of the permissionless nature of DeFi to pump $16 million or so into EMN. 

What happened next was arguably the first pre-release hack in DeFi’s history. This episode breaks down what happened and what it means for the fledgling field.

See also: The Inevitable Marriage of Yield Farming and NFTs, Explained

For more episodes and free early access before our regular 3 p.m. Eastern time releases, subscribe with Apple Podcasts, Spotify, Pocketcasts, Google Podcasts, Castbox, Stitcher, RadioPublica, iHeartRadio or RSS.

Learn more about Consensus 2024, CoinDesk's longest-running and most influential event that brings together all sides of crypto, blockchain and Web3. Head to consensus.coindesk.com to register and buy your pass now.

Disclosure

Please note that our privacy policy, terms of use, cookies, and do not sell my personal information has been updated.

CoinDesk is an award-winning media outlet that covers the cryptocurrency industry. Its journalists abide by a strict set of editorial policies. In November 2023, CoinDesk was acquired by the Bullish group, owner of Bullish, a regulated, digital assets exchange. The Bullish group is majority-owned by Block.one; both companies have interests in a variety of blockchain and digital asset businesses and significant holdings of digital assets, including bitcoin. CoinDesk operates as an independent subsidiary with an editorial committee to protect journalistic independence. CoinDesk employees, including journalists, may receive options in the Bullish group as part of their compensation.