Dydx V3 hit by ‘targeted attack,’ linked to YFI price manipulation

Around $9 million in dYdX v3’s insurance fund, roughly 40% of its total v3 funds, was used to process liquidations after an organized attack this weekend. 

According to dYdX founder Antonio Juliano, the open interest (OI) for YFI, DeFi protocol Yearn Finance’s native token, had spiked from $0.8 million to roughly $67 million on the decentralized exchange (DEX), trading at a significantly higher price than other perpetual trading platforms. 

OI refers to the amount of all outstanding derivative contracts and keeps track of all unsettled positions. The greater amount of contracts, the higher the OI. 

This was the result of one malicious actor, Juliano wrote on X, pointing at…

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