Anyswap got hacked
Today, Anyswap tweeted an exploit was detected in the v3 prototype.
An exploit was detected in the new anyswap v3 prototype, all bridge funds used in v1/v2 are safe, a full post mortem will be released. Remedial action already in place for all exploited funds. LPs to v3 won't take any losses.
— Anyswap (@AnyswapNetwork) July 11, 2021
Fortunately, the Anyswap bridge wasn't affected at all, only new V3 cross-chain liquidity pools. In total, 2,398,496.02 USDC and 5,509,222.73 MIM tokens were stolen.
An attacker address already managed to send funds through TornadoCash. You can watch the address activity here.
What happened exactly?
As we can read from Anyswap official post-mortem:
- Two v3 router transactions were detected under the V3 Router MPC account on BSC, these two transactions have the same R value signature. And hacker deduced the private key to this MPC account in reverse. Anyswap team reproduced this attack method. (Reference: https://bitcoin.stackexchange.com/questions/35848/recovering-private-key-when-someone-uses-the-same-k-twice-in-ecdsa-signatures）
- All v1/v2 bridge transactions have been audited, they don't have the same R transactions. Bridges are safe.
The affected code was fixed to avoid using the identical R signatures. Anyswap multi-chain router v3 will be launched in 48h.
What is interesting, similar incidents have happened in the past. Not only in crypto but as an exciting example, PS3 security has been breached similarly.
You can watch how it was done in this brilliant video.
But as aftermath.digial is saying in his tweet
It’s crazy how many times this has happened now. Sony’s PS3, multiple instances of wallets creating duplicate r values on the blockchain, and now this - how many people REALLY check that their cryptographic values are distinct and high entropy? It’s a tough gig. https://t.co/EYsewAPEXM
— aftermath digital (@aftermathdigit) July 11, 2021
Projects need to understand the cryptographic techniques they're using and verify their values to ensure high entropy.
That was an interesting exploit for sure, and I recommend checking the bitcoin stack overflow link shared earlier.
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