Using flashloan function on the Ethereum blockchain, a coding genius lent 80,000 ETH and made a profit in DAI at around $6M.
But a total of 8M had been gained, but only $2M was returned.
A flashloan is an operation that can net you some capital gains with zero risks involved. When executed correctly, a user can get their money back in 15 seconds, plus the profit. Though hard to execute correctly, a fair bit of practice can be a massive payoff.
In this scenario, a mysterious dev flashloaned 80,000 ETH and netted himself a profit of AUD 6,833,870.
In this transaction, the mysterious entrepreneur has spotted an opportunity, took advantage of the stablecoin mining pools, and then exploited it with solidity flashloans.
A few days ago, the team behind the DeFi mining pool bore the transaction’s impact tweeted about how they are resistant to “flashloan attacks.”
The tweet has been deleted, but with the help of Wayback Machine, it has been saved for the future.
The tweet advised crypto enthusiasts to read about how technical marvels help them become one of the most secure DeFi firms in the industry.
But there is a big catch and someone more versed in technical details called their bluff. The coding genius left a message on the transaction saying –
“do you know flashloan?”
The pranks continued, with $2M worth of the money returned to the sender.
Many blogs will tell you to work smart, not hard – but little took this old proverb to heart as well as this person.
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