$775K Loss for Ajna Protocol: Oracle-Free Design Exploited by Attackers

Ajna Protocol, a lending platform that operates without price oracles, has suffered a loss of around $775,000 in Ethereum (ETH). The attackers exploited the internal liquidation accounting mechanism instead of relying on external price feeds.

The assault impacted multiple liquidity pools, including syrupUSDC, wstETH, rETH, cbETH, WBTC, WETH/USDC, and sDAI. However, this incident raises questions about Ajna's philosophy, which excludes the use of oracles and instead relies on self-pricing markets.

The attackers profited from the very assumption that Ajna's protocol was designed to avoid, the reliance on external price feeds. This highlights a potential vulnerability in the protocol's design.