Drift Protocol, Solv Protocol, and LAXO Token Exploits: $287M Lost to Key Compromise, Double Minting, and Price Manipulation
Olympix3 min read·1 hour ago--
Drift Protocol’s compromised multisig enabled pre-signed transactions that drained vaults at scale. Solv Protocol’s mint flow allowed double issuance via callback reentry, breaking supply integrity. LAXO Token’s burn logic manipulated pool reserves mid-swap, inflating price for profit. This isn’t about edge cases, it’s about control surfaces: keys, mint paths, and pricing logic all failed under adversarial execution.
In Brief
- Drift Protocol lost $285M after compromised private keys.
- Solv Protocol lost $2.5M due to double-minting.
- LAXO Token lost $190K after a burn mechanism reduced token supply and inflated its price.
Hacks Analysis
Drift Protocol | Amount Lost: $285M
On April 1st, the Drift Protocol exploit on Solana resulted in a $285M loss. The root cause of the exploit was the compromise of two multisig signers. The attacher then pre-signed transactions using Solana’s durable nonce feature which allows signed transactions to execute at any future time. The attacker created nonce accounts the week prior to the attack. Once the pre-signed transactions were executed on April 1st, the attacher was able to drain Drift Protocol vaults.
One of Many Transactions (on Solana): 5cvVsx81CNMSQ3y68oLaDPhDhqH6CJkiZDDoebZRTeNuf8UkoZ4GPnYRxt1BAidg4QtjN8bz7wqxNmJoxt8GTdBS
Solv Protocol | Amount Lost: $2.5M
On March 3rd, the Solv Protocol exploit on the Ethereum mainnet resulted in a $2.5M loss. The root cause of the exploit was a double-mint vulnerability in the BitcoinReserveOffering contract. During the mint() flow, the contract transfers an NFT from the caller, which triggers the onERC721Received() callback. The callback internally calls _mint(), issuing BRO tokens. Once the callback returns, mint() calls _mint() again with the same exchange rate, minting a second set of BRO tokens for the same deposit. The attacker repeated this loop 22 times and drained 38.05 SolvBTC.
Exploited Contract: 0x15f7c1ac69f0c102e4f390e45306bd917f21cfcf
Transaction: 0x44e637c7d85190d376a52d89ca75f2d208089bb02b7c4708ad2aaae3a97a958d
LAXO Token | Amount Lost: $190K
On February 22nd, the LAXO Token exploit on the BSC resulted in a $190K loss. The root cause of the exploit was price manipulation by burning tokens and reducing the token supply. The attacker first used flash loans to buy 43M LAXO tokens and called the transfer function that burned 41M LAXO tokens. This reduced the pool’s LAXO balance to 13M and artificially inflated its price. The attacker then sold the remaining LAXO tokens and made a profit.
Exploited Contract (on BNB): 0x62951cad7659393bf07fbe790cf898a3b6d317cb
Transaction: 0xd58f3ef6414b59f95f55dae1acb3d5d6e626acf5333917c6d43fe422d98ac7d3
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