Flamingo Finance Attacked by Exploiter Netting $3.46M in Profits

Flamingo Finance has been attacked by an attacker who exploited a vulnerability to gain approximately $3,459,000 in USDT.

The attack occurred on September 16, 2026, and involved the attacker borrowing around $18 million in USDT through Morpho's lightning loan feature. The attacker then used Curve's USDP LP tokens to pump up the price of VaultYUSDT shares, which they subsequently redeemed for a profit.

The attack has resulted in significant losses for Flamingo Finance, with the attacker netting around $3,459,000 in profits.