Spartan Protocol (2021) — Crypto Hack
LaunderedSpartan Protocol lost $30M when an attacker used flash loans to manipulate liquidity pool share calculations, inflating collateral value.
Summary
Spartan Protocol lost $30M when an attacker used flash loans to manipulate liquidity pool share calculations, inflating collateral value.
How It Was Compromised — DeFi via Flash Loan / Oracle Manipulation
The attacker exploited a flaw in Spartan Protocol's liquidity share calculation. By repeatedly adding and removing liquidity with flash-loaned BNB, they artificially inflated the pool's calculated liquidity value. This manipulated value was then used to borrow far more than the actual collateral was worth, extracting $30M from the protocol's pools.
Fund Flow & Laundering Analysis
Stolen BNB converted to stablecoins via PancakeSwap and other BSC DEXes. Funds bridged to Ethereum and mixed via Tornado Cash. PeckShield published a detailed exploit analysis. The Spartan Protocol team paused contracts and conducted a post-mortem. No attacker identified, no funds recovered.