Four.Meme Resumes Operations After $120,000 Sandwich Attack

Four.Meme, a platform based on the BNB Chain for launching memecoins, has resumed its operations following a security breach that resulted in a loss of approximately $120,000. The attack, which occurred on March 18, utilized a market manipulation technique known as a sandwich attack. This method involves exploiting price movements to manipulate the market and siphon funds from the platform.

The platform initially suspended its launch function to investigate the attack and assess the vulnerability. After a thorough security inspection, Four.Meme announced that it had addressed the issue and reinforced its system security measures. The company also stated that compensation for affected users was underway.

Web3 security firm ExVul revealed that the attack was executed through a sandwich attack. The attacker pre-calculated the address for creating the liquidity pool’s trading pair and utilized one of Four.Meme’s functions to purchase tokens while bypassing the platform’s token transfer restrictions. Once liquidity was added by Four.Meme, the attacker executed transactions that allowed them to siphon funds from the platform.

Blockchain security firm CertiK confirmed similar findings, stating that the attacker transferred an imbalanced number of unlaunched tokens to the liquidity pool before the pair was created. By manipulating token prices at the time of launch, the attacker was able to profit significantly. CertiK highlighted how the attacker used this tactic with SBL tokens, ultimately profiting 21.1 BNB. Overall, the attacker netted 192 BNB, worth around $120,000, and sent the funds to the decentralized exchange FixedFloat.

This is the second time in as many months that Four.Meme has fallen victim to an exploit. On February 11, the platform suffered another attack that led to the loss of approximately $183,000 worth of digital assets. The latest breach underscores ongoing security concerns within the decentralized finance (DeFi) sector, where emerging platforms remain prime targets for attackers.

Four.Meme’s latest attack is part of a wider trend of rising crypto-related exploits. Despite these setbacks, Four.Meme has reaffirmed its commitment to enhancing platform security and compensating affected users. The platform’s ability to quickly address the issue and resume operations demonstrates its resilience in the face of security challenges. However, the incident serves as a reminder of the need for continuous vigilance and improvement in security measures within the DeFi sector.