Blockaid Flags Exploit Involving FlamingoFinance's Older Contracts

Blockaid's exploit detection system flagged an attack involving older Flamincome contracts associated with FlamingoFinance, a decentralized finance (DeFi) platform.

The attacker used a flash loan of approximately $18 million in USDT to inflate the share price of VaultYUSDT by staking USDP liquidity-provider tokens into a strategy contract. This allowed them to redeem liquid aUSDT at a favorable rate, generating a profit of roughly $345,900 USDT.

The attack occurred on older Flamincome deployments, and no further technical breakdown of the pricing mechanism or precise accounting step that permitted the inflation was included in the initial public notice.