Usual Protocol pauses contract after 0.00 USD exploit

Usual Protocol identified an exploit where a hacker converted USD0++ to USD0 at a 1:1 ratio, yielding a profit of 43,000 USD due to price discrepancies. Following the incident, the protocol paused its smart contracts for security.

Despite the exploit, Usual Protocol continued operations while ensuring user funds remained untouched. The 43,000 USD profit resulted solely from arbitrage between the two token forms.

Reporting by BlockSec prompted the halting of transactions while investigations into prior similar exploits suggested vulnerabilities in the USD0++ token’s structure.