Thread by @EigenPhi

This is an in-depth 🧵thread🧵 of the Euler Attack. We not only cover what happened during the attack, but also give our analysis on the beneficiaries and losers, whales affected, and addressed with net large flows👇

Ethereum-based noncustodial lending protocol Euler Finance faced a flash loan attack on March 13. The attacker stole millions in $DAI, $USDC, $WETH, $stETH, and $wstETH.

The exploiters' addresses transferred $740.28 million to the Euler contract, while the Euler contract transferred $944.75 million to the exploiters' addresses. As a result, the exploiters gained $204.46 million from Euler Finance, aligning closely with third-party data.

While the exploiter is the biggest winner, who drained $200 million out of the protocol. Many crypto whales and several third-party protocols suffered from this event. Only a few individual addresses are left safely with a profit.

We found that many addresses interacting with Euler belong to wealthy crypto investors or experienced DeFi users. Most of these addresses suffered losses, with some losing more than 20%.

Individuals lost their investments on Euler, including the whale 0xf703. They deposited assets in November and received rewards, but after the attack, they could only withdraw a few remaining assets that did not cover their $2.3 million principal.

Similarly, As for winners, our dataset below shows that a few winners gained over $1 million from Euler. Most of these are exploiters' contracts, and we should exclude some of DEX's router addresses. However, one remarkable EOA address, 0x4ce6, achieved a 30%+ return.

We also noticed addresses displaying either pure transfer-in or pure transfer-out behavior during their interactions with Euler. For example, we found 126 addresses that exclusively transferred funds out of Euler, while 1,196 addresses solely transferred funds into Euler.

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