Dear Sherpas,
We are have noticed some unusual activity on our ZENTEREST borrow markets this morning with a user coming in and supplying a larg number of BONDLY assets as collateral (~200M BONDLY). This user has since borrowed a number of assets from the platform.
After talking with the BONDLY team we have understood that their
$BONDLY Staking Rewards Contract has been compromised and a user was able to access those tokens and move them into their control. We have currently paused the BONDLY ZENTEREST market in order to do a deep dive into the cause.
We are working through the mechanics of how this initial exploit took place and will be aiming to reconcile the markets in the near future. We have multiple teams looking through the cause of this and are in discussions with the BONDLY team.
Please rest assured that the
ZENTEREST smart contracts and code is NOT flawed nor has it been compromised.
We will keep the Sherpas updated as we work through everything so please rest assured that we are on top of it. Sherpas funds are SAFU.