As the morning sun illuminated the crypto community, a sense of tranquility enveloped the realm of decentralized finance. However, this serenity was abruptly shattered when Pendle Finance, a prominent player in the decentralized finance sector, fell victim to hackers and scammers. Their Twitter account, “@pendle_fi,” was suddenly logged out, plunging the project into a state of chaos. This article aims to chronicle the sequence of events, the team’s efforts to resolve the issue, and the implications for future digital security.
The Breach Unveiled
On March 30th, at approximately 1 am UTC, the Pendle Finance team discovered that they had been locked out of their Twitter account, @pendle_fi. To compound matters, the security questions had been altered, preventing them from resetting their password through the registered email address. The absence of any obvious signs of a breach heightened suspicions, especially since the account was protected by 2FA that was not linked to phones. This complexity further complicated the situation.
In response, Pendle Finance diligently conducted a thorough investigation into all external accounts and login credentials, including password managers, email accounts, and 2FA. However, this comprehensive examination yielded no tangible leads. Despite their efforts, the account remained unrecovered, leading to the publication of a public service announcement (PSA) through alternative channels and direct contact with Twitter.
Mobilizing the Community
Fully cognizant of the gravity of the situation, Pendle Finance swiftly reached out to its network members, appealing for assistance in spreading awareness about the breach nationwide. This communication-oriented strategy garnered widespread support throughout the process, even from individuals uninvolved in the incident. Initially, the team established contact with a helpful Twitter official who cooperated with their requests.
The cyber criminals, having gained control of the @pendle_fi account, proceeded to issue a fake airdrop warning containing a deceptive link. This marked the beginning of their malicious activities while also serving as a catalyst for a concerted response against them. Utilizing a multifaceted approach, Pendle Finance collaborated with Twitter officials and third-party experts to lock down the @pendle_fi account and flag the spam messages.
This swift action successfully resolved the issue, restoring access to the account within a mere two hours of it being compromised. The team’s ability to act swiftly and engage external parties played a pivotal role in minimizing the negative repercussions and reinstating the brand’s online reputation.
Investigating the Intrusion
Pendle Finance, in collaboration with Twitter, embarked on an extensive investigation to uncover the methods employed by the attackers. Initial findings suggest that the scammers may have assumed a false online identity to execute a password reset, employing social engineering techniques commonly associated with digital hacks.
The investigation is an ongoing process, and Pendle Finance has assured the public that they will be promptly informed of any new developments. This commitment aims to foster a comprehensive understanding of the incident and promote heightened security awareness within the community. The incident has also highlighted the importance of community support and collaboration in managing cyber threats. Special recognition was given to Mike Silagadze, ZachXBT, and _0xbe1 for their instrumental role in resolving the crisis. These individuals work behind the scenes, enabling Pendle Finance to serve its community effectively.
Conclusion
The security crisis faced by Pendle Finance serves as a stark reminder that the chaos wrought by hackers and scammers is an ever-present threat in the digital finance industry. While banks and financial systems possess robust defenses, the ingenuity of hackers remains a formidable challenge. Nevertheless, the restoration of the @pendle_fi account showcased the power of community solidarity and the efficacy of a rapid, collaborative response strategy.
