Blockchain security firm CertiK suggests that the amount of damage done to the decentralized protocol BonqDAO on February 1 may have been much less than previously believed.

According to the information provided by CertiK, the attacker started by taking a loan of 100 million BEUR, which is a euro stablecoin, using less than $1,000 as collateral as there were no limitations on the collateral ratio. If users set the parameter to zero, the platform will provide “uint256 largest value” as the default action. This will make it possible for an incredible number of loans to be distributed.

However, according to CertiK, the hacker was only able to withdraw approximately $1 million due to a lack of liquidity on the platform. This is despite the fact that the attacker borrowed a total of one hundred million BEUR (approximately one hundred and twenty million dollars at the time of the attack). Previous reports from blockchain security companies like PeckSheild suggested that the hack resulted in losses of around $120 million.

The Liquity Protocol forked at Bonq, and both blockchains employ Troves to represent discrete debt positions. Bonq is a fork of the Liquity Protocol. On the other hand, reports indicate that Bonq introduced a community liquidation function, which resulted in the liquidation of 45 Troves that had exposure to BEUR. CertiK reports that the hack also affected Troves, each of which held around 110 million Alliance Block Tokens (ALBTs). However, none of Alliance Block’s smart contracts were compromised during the event, and the team behind the project promised to distribute replacement tokens via airdrop as a form of compensation to token holders that were damaged.

Although it appears that BonqDAO suffered fewer losses as a result of the events due to illiquidity, other participants were not as fortunate. On October 12, DeFi protocol Mango Markets suffered an initial loss of $116 million as a result of hacker Avraham Eisenberg’s price manipulation of the MNGO token. Eisenberg increased the price 30 times using huge perpetual futures contracts in a short period of time. Due to limited liquidity, this was feasible as the initial amount of cash needed to control MNGO was only somewhat significant.

After that, Eisenberg took out a $116 million loan using the $423 million of his inflated MNGO holdings as collateral and stole cash from the platform. He did this simultaneously. On December 28, Eisenberg was arrested in Puerto Rico on suspicion of manipulating the value of commodities and committing commodity fraud.