According to blockchain security company Certik, the Arcadia Finance protocol, has been hit by a nearly $3.5 million attack on the Ethereum Layer-2 network, known as Base. The attack occurred on the Ethereum Layer-2 network.
Arcadia Finance is under $3.5 million Defi attack on the base network
Certik first turned his attention to the attack in his statement today:
Multiple suspicious transactions detected at the base. The attacker stole around $1.6 million from Arcadia Finance. This is believed to have been done through the arbitrary use of SWAPDATA through a Rebalancer agreement.
Hours later, Certik announced that the attack had continued, reaching a total loss of around $3.5 million.
The Arcadia team also confirmed the attack and warned users in posts on their official X (formerly Twitter) accounts.
“The incorrect transaction was made through the rebalancer. Remove all asset manager permissions.”
On their website, users were advised to “cut off the rebalancer and comparmer.”
Backed by Coinbase Ventures, Arcadia Finance is a Defi platform that allows users to borrow, lend, leverage and exchange assets without the need for permission.
Certik, one of the most well-known companies in the web3 security industry, said in a report released last month that Crypto users and the Defi protocol lost a total of $320 million in May 2025.
Certik is backed by leading investors such as Sequoia Capital, Tiger Global and Goldman Sachs, and is expected to reach a $2 billion valuation by 2024.
*This is not investment advice.
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