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{"actor":"system:backfill","investigation_id":"6b780d7c-ae73-41a0-8901-dabf2464cce4","kind":"publish","page_slug":"warp-finance","published_at":"2026-05-30T13:00:28.083Z","sequence_num":1,"snapshot":{"content_type":"investigation","entity_name":"Warp Finance","sections":[{"content":"","heading":"Protocol Overview","severity":"medium","sources":[{"credibility":2,"name":"Warp Finance — Exploit Summary & Recovery of Funds (Official Medium)","type":"official","url":"https://warpfinance.medium.com/warp-finance-exploit-summary-recovery-of-funds-5b8fe4a11898"},{"credibility":1,"name":"Warp Finance Suffers Possible $8M Flash Loan Attack — CoinDesk","type":"news_article","url":"https://www.coindesk.com/markets/2020/12/18/warp-finance-suffers-possible-8m-flash-loan-attack"},{"credibility":2,"name":"Warp Finance | DeFi Pulse","type":"other","url":"https://defipulse.com/warp-finance"}]},{"content":"","heading":"December 2020 Flash Loan Exploit","severity":"critical","sources":[{"credibility":2,"name":"WarpFinance Incident: Root Cause Analysis — PeckShield","type":"research","url":"https://peckshield.medium.com/warpfinance-incident-root-cause-analysis-581a4869ee00"},{"credibility":2,"name":"Analysis of Warp Finance Hacked Incident — SlowMist","type":"research","url":"https://slowmist.medium.com/analysis-of-warp-finance-hacked-incident-cb12a1af74cc"},{"credibility":2,"name":"Another DeFi Hack: $7.7 Million Stolen in a Flash Loan Attack from Warp Finance — CryptoPotato","type":"news_article","url":"https://cryptopotato.com/another-defi-hack-7-7-million-stolen-in-a-flash-loan-attack-from-warp-finance/"},{"credibility":2,"name":"Warp Finance Hack (2020) — $7.8M Lost | Smart Contract Hacking","type":"research","url":"https://smartcontractshacking.com/hacks/warp-finance-hack-2020"},{"credibility":1,"name":"Exploit Contract Address — Etherscan","type":"on_chain","url":"https://etherscan.io/address/0xdf8bee861227ffc5eea819c332a1c170ae3dbacb"}]},{"content":"","heading":"Oracle Vulnerability: LP Token Price Manipulation","severity":"critical","sources":[{"credibility":2,"name":"WarpFinance Incident: Root Cause Analysis — PeckShield","type":"research","url":"https://peckshield.medium.com/warpfinance-incident-root-cause-analysis-581a4869ee00"},{"credibility":2,"name":"Analysis of Warp Finance Hacked Incident — SlowMist","type":"research","url":"https://slowmist.medium.com/analysis-of-warp-finance-hacked-incident-cb12a1af74cc"},{"credibility":2,"name":"DeFi Hackers Bag More Millions in Another Flash Loan Attack — Crypto Briefing","type":"news_article","url":"https://cryptobriefing.com/defi-hackers-millions-flash-loan-attack/"}]},{"content":"","heading":"Fund Recovery and User Compensation","severity":"high","sources":[{"credibility":2,"name":"Warp Finance Recovers $5.8 Million Days After Hack — Decrypt","type":"news_article","url":"https://decrypt.co/52125/warp-finance-recovers-5-8-million-days-after-hack"},{"credibility":2,"name":"Warp Finance — Exploit Summary & Recovery of Funds (Official Medium)","type":"official","url":"https://warpfinance.medium.com/warp-finance-exploit-summary-recovery-of-funds-5b8fe4a11898"},{"credibility":2,"name":"Further Clarification: Warp Finance Reimburses Users with its Portal IOU Token (Official Medium)","type":"official","url":"https://warpfinance.medium.com/warp-finance-reimburses-users-with-its-portal-iou-token-10016812fc84"},{"credibility":2,"name":"After Exploit, Warp Finance Compensation Plan Takes Promising Strides — CoinTelegraph","type":"news_article","url":"https://cointelegraph.com/news/after-exploit-warp-finance-compensation-plan-takes-promising-strides"},{"credibility":2,"name":"Dec 2020 — Warp Finance Hack — Quadriga Initiative Case Study","type":"research","url":"https://www.quadrigainitiative.com/casestudy/warpfinancehack.php"}]},{"content":"","heading":"Protocol Relaunch and Security Remediation","severity":"medium","sources":[{"credibility":2,"name":"Warp Finance Relaunches with Additional Security Measures — Chainlink Integration (Official Medium)","type":"official","url":"https://warpfinance.medium.com/warp-finance-will-integrate-chainlink-price-feeds-to-secure-protocol-relaunch-2108666d3830"},{"credibility":2,"name":"Warp Finance Relaunches with Additional Security — BeInCrypto","type":"news_article","url":"https://beincrypto.com/warp-finance-relaunches-additional-security-chainlink/"},{"credibility":2,"name":"Warp Finance Re-Launches After Reimbursement of Hacked Stablecoins — Bitcoinist","type":"news_article","url":"https://bitcoinist.com/warp-finance-re-launches-after-reimbursement-of-hacked-stablecoins/"},{"credibility":2,"name":"Warp V2 Bug Bounty Program with Immunefi (Official Medium)","type":"official","url":"https://warpfinance.medium.com/warp-v2-bug-bounty-program-with-immunefi-6fefb23d98ac"}]},{"content":"","heading":"Broader Context: DeFi Oracle Risk and Industry Lessons","severity":"high","sources":[{"credibility":2,"name":"WarpFinance Incident: Root Cause Analysis — PeckShield","type":"research","url":"https://peckshield.medium.com/warpfinance-incident-root-cause-analysis-581a4869ee00"},{"credibility":2,"name":"Warp Finance Hack (2020) — $7.8M Lost | Smart Contract Hacking","type":"research","url":"https://smartcontractshacking.com/hacks/warp-finance-hack-2020"},{"credibility":2,"name":"Newly Launched Warp Finance Lost $8 Million in Flash Loan Attack — Finance Magnates","type":"news_article","url":"https://www.financemagnates.com/cryptocurrency/news/newly-launched-warp-finance-lost-8-million-in-flash-loan-attack/"}]}],"sources_used":[{"credibility":2,"name":"Warp Finance — Exploit Summary & Recovery of Funds (Official Medium)","type":"official","url":"https://warpfinance.medium.com/warp-finance-exploit-summary-recovery-of-funds-5b8fe4a11898"},{"credibility":2,"name":"WarpFinance Incident: Root Cause Analysis — PeckShield","type":"research","url":"https://peckshield.medium.com/warpfinance-incident-root-cause-analysis-581a4869ee00"},{"credibility":2,"name":"Analysis of Warp Finance Hacked Incident — SlowMist","type":"research","url":"https://slowmist.medium.com/analysis-of-warp-finance-hacked-incident-cb12a1af74cc"},{"credibility":1,"name":"Warp Finance Suffers Possible $8M Flash Loan Attack — CoinDesk","type":"news_article","url":"https://www.coindesk.com/markets/2020/12/18/warp-finance-suffers-possible-8m-flash-loan-attack"},{"credibility":2,"name":"Warp Finance Recovers $5.8 Million Days After Hack — Decrypt","type":"news_article","url":"https://decrypt.co/52125/warp-finance-recovers-5-8-million-days-after-hack"},{"credibility":2,"name":"Another DeFi Hack: $7.7 Million Stolen in a Flash Loan Attack — CryptoPotato","type":"news_article","url":"https://cryptopotato.com/another-defi-hack-7-7-million-stolen-in-a-flash-loan-attack-from-warp-finance/"},{"credibility":2,"name":"DeFi Hackers Bag More Millions in Another Flash Loan Attack — Crypto Briefing","type":"news_article","url":"https://cryptobriefing.com/defi-hackers-millions-flash-loan-attack/"},{"credibility":2,"name":"After Exploit, Warp Finance Compensation Plan Takes Promising Strides — CoinTelegraph","type":"news_article","url":"https://cointelegraph.com/news/after-exploit-warp-finance-compensation-plan-takes-promising-strides"},{"credibility":2,"name":"Warp Finance Relaunches With Additional Security from Chainlink — BeInCrypto","type":"news_article","url":"https://beincrypto.com/warp-finance-relaunches-additional-security-chainlink/"},{"credibility":2,"name":"Warp Finance Re-Launches After Reimbursement of Hacked Stablecoins — Bitcoinist","type":"news_article","url":"https://bitcoinist.com/warp-finance-re-launches-after-reimbursement-of-hacked-stablecoins/"},{"credibility":2,"name":"Further Clarification: Warp Finance Reimburses Users with its Portal IOU Token (Official Medium)","type":"official","url":"https://warpfinance.medium.com/warp-finance-reimburses-users-with-its-portal-iou-token-10016812fc84"},{"credibility":2,"name":"Warp Finance Will Integrate Chainlink Price Feeds (Official Medium)","type":"official","url":"https://warpfinance.medium.com/warp-finance-will-integrate-chainlink-price-feeds-to-secure-protocol-relaunch-2108666d3830"},{"credibility":2,"name":"Warp V2 Bug Bounty Program with Immunefi (Official Medium)","type":"official","url":"https://warpfinance.medium.com/warp-v2-bug-bounty-program-with-immunefi-6fefb23d98ac"},{"credibility":2,"name":"Warp Finance Hack (2020) — $7.8M Lost | Smart Contract Hacking","type":"research","url":"https://smartcontractshacking.com/hacks/warp-finance-hack-2020"},{"credibility":2,"name":"Dec 2020 — Warp Finance Hack — Quadriga Initiative Case Study","type":"research","url":"https://www.quadrigainitiative.com/casestudy/warpfinancehack.php"},{"credibility":2,"name":"Newly Launched Warp Finance Lost $8 Million in Flash Loan Attack — Finance Magnates","type":"news_article","url":"https://www.financemagnates.com/cryptocurrency/news/newly-launched-warp-finance-lost-8-million-in-flash-loan-attack/"},{"credibility":1,"name":"Exploit Contract Address 0xdf8bee861227ffc5eea819c332a1c170ae3dbacb — Etherscan","type":"on_chain","url":"https://etherscan.io/address/0xdf8bee861227ffc5eea819c332a1c170ae3dbacb"},{"credibility":2,"name":"Warp Finance Loses $7.7 Million in Latest DeFi Exploit — CoinCodex","type":"news_article","url":"https://coincodex.com/article/10212/warp-finance-loses-77-million-in-latest-defi-exploit/"}],"summary":"Warp Finance was an Ethereum-based DeFi lending protocol that allowed users to borrow stablecoins against Uniswap liquidity provider (LP) tokens as collateral. On December 17–18, 2020, roughly one week after launch, an attacker exploited a manipulable AMM-based price oracle to artificially inflate LP token collateral values using flash loans, draining approximately $7.76 million in DAI and USDC. Approximately $5.85 million (roughly 75%) was subsequently recovered from the attacker's locked collateral with assistance from the white-hat community; the protocol relaunched in February 2021 with Chainlink price feeds replacing the vulnerable Uniswap oracle.","timeline":[{"date":"2020-12-09","event":"Warp Finance protocol launches on Ethereum mainnet, offering stablecoin loans collateralized by Uniswap LP tokens. No pre-launch security audit had been completed.","source":"CoinDesk / Warp Finance Medium","source_url":"https://www.coindesk.com/markets/2020/12/18/warp-finance-suffers-possible-8m-flash-loan-attack"},{"date":"2020-12-17","event":"At approximately 02:30 UTC, an unidentified attacker executes a multi-step flash loan attack. The attacker borrows ~2.9M DAI and ~344,800 WETH via flash loans from dYdX and Uniswap V2, deposits DAI to mint ~94,349 LP tokens as collateral, manipulates the Uniswap WETH-DAI pool reserve ratio to approximately double the reported LP token value, and borrows 3.86M DAI and 3.9M USDC (~$7.76M total) against the inflated collateral.","source":"PeckShield Root Cause Analysis","source_url":"https://peckshield.medium.com/warpfinance-incident-root-cause-analysis-581a4869ee00"},{"date":"2020-12-18","event":"Warp Finance team publicly acknowledges the exploit via Twitter, stating it is 'investigating irregular stablecoin loans.' CoinDesk and other outlets report the incident. Protocol deposits are suspended.","source":"CoinDesk","source_url":"https://www.coindesk.com/markets/2020/12/18/warp-finance-suffers-possible-8m-flash-loan-attack"},{"date":"2020-12-18","event":"PeckShield and SlowMist publish independent root cause analyses identifying the Uniswap AMM-based LP token oracle as the exploited vulnerability.","source":"PeckShield Medium / SlowMist Medium","source_url":"https://peckshield.medium.com/warpfinance-incident-root-cause-analysis-581a4869ee00"},{"date":"2020-12-20","event":"At 02:16 UTC, Warp Finance announces recovery of the exploiter's locked ETH/DAI-LP token collateral (~$5.688M, approximately 73–75% of lost funds) with assistance from white-hat researchers including Emiliano, Banteg, Samczsun, and Julien Bouteloup. Distribution to affected users is planned within 24 hours.","source":"Warp Finance Medium / Decrypt","source_url":"https://decrypt.co/52125/warp-finance-recovers-5-8-million-days-after-hack"},{"date":"2020-12-22","event":"Recovered ETH/DAI-LP tokens (~$5.688M) distributed proportionally to affected depositors. The remaining ~$2M in stablecoins held by the attacker is not recovered.","source":"Quadriga Initiative Case Study","source_url":"https://www.quadrigainitiative.com/casestudy/warpfinancehack.php"},{"date":"2021-01","event":"Warp Finance announces the Portal IOU token compensation plan: 7,816,976 Portal IOU tokens issued to affected users, redeemable for WARP governance tokens at the planned token generation event, representing approximately 7.5% of total WARP supply.","source":"Warp Finance Medium (Portal IOU clarification post)","source_url":"https://warpfinance.medium.com/warp-finance-reimburses-users-with-its-portal-iou-token-10016812fc84"},{"date":"2021-01","event":"Warp Finance announces integration of Chainlink price feeds (DAI/ETH, BTC/ETH, USDT/ETH, USDC/ETH) to replace the vulnerable Uniswap AMM oracle for the forthcoming relaunch.","source":"Warp Finance Medium (Chainlink integration announcement)","source_url":"https://warpfinance.medium.com/warp-finance-will-integrate-chainlink-price-feeds-to-secure-protocol-relaunch-2108666d3830"},{"date":"2021-02-09","event":"Warp Finance relaunches as Warp V2 following a security audit by n-Var, with Chainlink oracle integration and revised LP token valuation logic. A bug bounty program is subsequently established via Immunefi.","source":"Bitcoinist / BeInCrypto","source_url":"https://bitcoinist.com/warp-finance-re-launches-after-reimbursement-of-hacked-stablecoins/"}]},"v":1}