Cryptocurrency markets are facing a second attack this week after Mango Market was deprived of $ 100 million in funds due to a breach. According to the loan protocol, the hack was possible thanks to the manipulation of the prices of the oracles.
The Mango debacle is the second high-profile breach following the $ 500 million Binance Smart Chain breach a few days ago.
OtterSec founder Robert Chen described the hack as an "economic design flaw" and pointed out that the hacker manipulated the value of the collateral on Mango Markets and then borrowed heavily against that collateral, draining the end of the $ 100 million protocol. The hacker essentially wiped out Mango's cash flow.
Investors are interested in NFT-related projects
After the last two incidents, the data suggests that investors are increasingly interested in DeFi projects that do not have leverage exposure, but which include NFTs.
GLO Vault currently supports Uniglo's protocol with stablecoins, but also includes non-fungible tokens (NFTs), such as Cool Pets, in its investment strategy. As a result, the protocol saw an acceleration of purchases by investors in the upcoming deflationary DAO (short for decentralized autonomous organization), with GLO as the native currency.
Uniglo.io then committed to include other NFTs in its future asset acquisitions to support the protocol. In addition, the DAO also offers deflationary tokenomics, which uses the so-called "Ultra Burn" mechanism. This tool allows the protocol to redeem and burn GLO tokens without interruption, resulting in a constant appreciation of value for all holders.
Furthermore, Paladin Blockchain Security has verified all smart contracts related to Uniglo.io to ensure the safety of all funds in the face of the growing number of breached projects. It should be noted that all protocol-related funds are protected by a 2/4 multi-sig wallet.
Final reflections
The growing number of hacks is problematic for many decentralized finance players. However, they only cover a small percentage of the overall space, while many protocols care about their investors and go to great lengths to ensure an environment of safe investment. The DAO Uniglo.io, backed by NFT, seems to have all the credentials for investors, so the project deserves a successful presale with a launch scheduled for November 19th. Take a look and decide for yourself. Also, let us know what you think.
