The reports have just come in that another two projects on the Binance Smart Chain (BSC) have become victims of a hack attack. The reports have confirmed that both of the Binance Smart Chain (BSC) projects have suffered a similar attack that other projects have suffered on BSC.
According to the reports, the two BSC projects have suffered flash loan attacks. The flash loan attacks have become quite consistent lately and they have been occurring quite often since the start of 2021.
The reports have also confirmed the names of the two Binance Smart Chain (BSC) projects that have faced the attack. The names of the projects are JulSwap (JULD) and Burger Swap (BURGER) respectively.
Binance, which is the largest cryptocurrency exchange in the world, is behind the creation and launch of the Binance Smart Chain (BSC). There was a time when the Ethereum (ETH) network was considered top of the line when it came to offering a platform for different projects to run.
Ever since the Ethereum (ETH) network got plagued by transaction latencies and system crashes, people had started moving to Binance Smart Chain (BSC). Out of all the blockchain networks out there offering the same kind of services as Ethereum (ETH), BSC was considered the best alternative.
It not only provided users a chance to move from Ethereum’s high gas fee problem, but it also provided users fast and cheap transactions. This meant that the Binance Smart Chain (BSC) was more reliable, feasible, and adaptable than Ethereum (ETH).
Unfortunately, Binance Smart Chain (BSC) has also ended up facing a huge problem, which is in the form of security. Ever since the beginning of 2021, the Binance Smart Chain (BSC) has been falling prey to many hack attacks.
Out of all the attacks, the flash loan attacks have become quite trending and problematic for the Binance Smart Chain (BSC) entirely.
On May 28, 2021, the management of the BurgerSwap project reported that they had fallen victim to a flash loan attack. The notification was shared through the website of the project, where it confirmed that the attack had taken place at 7:17 am (UTC).
As a result, BurgerSwap had to suspend BURGER generation, addition or removal of liquidity, and Swap, in order to avoid any losses. The team reported that they were looking into the matter and would be providing more details on the matter soon.
The management at BurgerSwap did confirm that they ended up losing $7.2 million worth of funds in the form of tether (USDT), binance USD (BUSD), and ethereum (ETH).
Even before BurgerSwap reported the flash loan attack, JulSwap (JULD) had also reported a hack attempt on its project. JULD also reported that they had suffered from a flash loan attack and the service attacked was JustLiquidity.