Forta Firewall Featured in Messari's State of AI Report

**Attack Overview** An attacker exploited a flawed deflationary mechanism in the BCE Token, resulting in approximately $800,000 in losses. The exploit targeted the PancakeSwap liquidity pool. **How the Attack Worked** - Attacker manipulated the token burning mechanism to remove tokens from the PancakeSwap LP - This distorted the pool's price ratios - Exploiter then drained liquidity by trading at the artificially inflated price **Detection and Prevention** Forta's monitoring network detected the attack in real-time. Similar exploit patterns are now blocked on chains protected by Firewall security. **Pattern Recognition** This attack mirrors a previous $100K BYC token exploit from December 2024, which used the same deflationary mechanism vulnerability to manipulate liquidity pools.

A phishing attack on Ethereum resulted in **$1.77M USDC stolen** through a malicious permit signature. **Key Details:** - Forta Firewall detected the malicious contract at deployment - The attack could have been prevented on Firewall-protected chains - Ethereum currently lacks Firewall protection This incident follows a pattern of recent exploits: - $2.7M drained from SolvProtocol via double-mint flaw - $3.7M stolen from VenusProtocol through market manipulation - $2.9M lost across 664 phishing transactions last month Forta Firewall has successfully flagged these attacks, but can only prevent them on protected chains. The technology stops malicious transactions pre-execution, addressing a growing problem where over $1B annually is lost to phishing scams. Learn more about [Firewall-protected chains](https://forta.org/firewall?utm_source=twitter&utm_medium=social&utm_campaign=firewall-update&utm_content=ink-case-study)

**IoTeX Bridge Exploit: $8M Drained** The @iotex_io Bridge suffered a major security breach on February 28, 2026, losing $4.3M initially and escalating to $8M within 90 minutes. The attack was executed through a single compromised private key. **Key Details:** - Attack vector: Compromised private key - Timeline: $4.3M → $8M in 90 minutes - Detection: Forta Firewall caught the attacker's mainnet movements in real-time **Recent Context:** Just two days earlier, a @FOOMCASH lottery-contract exploit put $1.8M at risk. Forta Firewall flagged the attack in real-time and successfully blocked it on Firewall-enabled chains. This incident highlights the ongoing security challenges in cross-chain infrastructure and the critical importance of private key management in blockchain systems. Real-time detection systems like Forta Firewall are proving essential for identifying threats, though prevention remains dependent on proper security practices. Learn more about Forta Firewall: [Introducing Forta Firewall](https://forta.org/blog/introducing-forta-firewall/)

**Yearn Finance suffered a $9M exploit** on mainnet through a sophisticated price manipulation attack. **How the attack worked:** - Attacker drained liquidity pools - Broke pricing mechanisms - Minted cheap yETH tokens - Sold them for regular ETH at inflated prices **Detection vs Prevention:** Forta Firewall **flagged the exploit in real time** but couldn't stop it. The attack happened so fast that only real-time detection was possible. **Key insight:** Pre-execution screening could have **prevented this attack entirely** rather than just detecting it after the damage was done. This follows a pattern of recent price manipulation exploits, including attacks on DRLVaultV3 (~$100K) and RWB (~$180K), highlighting the critical need for **proactive security measures** in DeFi protocols.