Hundred Finance loses $12 million in Crypto lending exploit. Web3 and Blockchain stupidity

[@nexus3756]

if a bank was hacked for 100 million dollars it would be all over the news. everybody would be on it. 100 million is just an average bi weekly amount at best for crypto

[@Sniperbear13]

yeah it happens so much now its just beating a dead horse. at this point that horse is not even a puddle anymore.

[@simonjohnston9488]

Reminds me of uber: pronounce your competitors inherently corrupt, then behave as if there are no rules. Profit! It can work, to varying levels. But only for early investors and executives. The workforce are more fucked than they've ever been - because that 'corruption' they were talking about? Worker's rights. A fair and healthy workplace. Minimum wage. Access to healthcare.

[@sinjin8576]

If you told me it's a conspiracy by the government to dissuade people from messing with crypto I wouldnt even be surprised. I'd also not be surprised by the simpler explanation of everyone in this space is either a grifter or a mouth breathing idiot

[@tomlxyz]

And many pro crypto people have explanations how that's not actually a bad thing

[@justanotheryoutubechannel]

I think part of it might be that a lot of this money doesn’t really exist. 100 million of crypto often isn’t backed by 100 million dollars, and the hackers won’t necessarily escape with 100 million of usable assets. The only way that could be happen would be if they were able to use an exchange to turn that money into FIAT currency, or buy proper assets, if that is even possible. Often these crypto funds generate a few hundred grand worth of crypto in exchange for actual dollars, which they invest like a normal bank only in more risky ways, in the hopes that they can generate enough money to pay back everyone if they tried to take their money out. But since crypto appreciates at such a ridiculous rate, 100k can turn to a million before those 100k dollars have inflated or the investments have paid off. In these cases, all of that value is kinda nonexistent if the money can’t be taken back out and spent on something genuinely useful.

[@itchylol742]

When you get into crypto to get rich quick by scamming people, only to get scammed yourself, but then the person who scammed you gets hacked: 👌😎👍

[@ArDeeMee]

Absolute clownworld 🤡

[@battlion507]

This system is totally fine. It's an economic darwinistic Robber-royale!

[@mousepotatoliteratureclub]

There's always a bigger phish.

[@dylanherron3963]

@@mousepotatoliteratureclub Meesa needa a hardware wallet!

[@thehoodedteddy1335]

It’s like seeing a fish getting eaten by a bigger fish which gets eaten by a bigger fish

[@a_lost_one]

So... what did this guy do that was illegal? He manipulated the price through an 'empty market'... but 'code is law?' So nothing wrong here, right?

[@MyRegardsToTheDodo]

Exactly, as far as I understood that. They could still tie him up in a legal battle for quite some time, so they might actually get some of the money back if they offer not to pursue the rest.

[@ekki1993]

I mean, they only believe "code is law" as a buzzword. A significative portion of them crying to the justice system is the tip of the iceberg of how little "code is law" means in reality.

[@simonjohnston9488]

I was wondering this, too. It's an exploit of a badly designed platform, not a hack.

[@ArDeeMee]

@@MyRegardsToTheDodo „Legal battle“. Pfft, yeah, sure. =D

[@MyRegardsToTheDodo]

@@ArDeeMee They could block the tokens, he could sue them to release them (again, he didn't do anything illegal), this would take forever. So, yes, legal battle.

[@theonelincoln]

Wow you weren’t kidding, this really is like a Crypto Fails advent calendar, crypto stupidity just keeps coming and coming, it’s almost impressive actually.

[@marasmorgean5813]

My first thought: Its not going to work, he needs a hell of a streak to pull this off. I-was-wrong. 🤣

[@LuisEdGm]

Kira and Callum will never run out of content lmao

[@sebytro]

Two of my most favorite content creators. Can't not love them!

[@Talking_Ed]

My daily self esteem boost lmao

[@ExecutorQ3]

at least we will still have a place to visit for some cheap laugh (at least cheap for us :) )

[@ronintje7647]

I remember being told by experts and specialists that blockchains is 100% safe and can't be misused as you can trail everything. This was the future of finance. Never touched that pyramid scheme as i didn't trust the snakeoil salesmen.

[@simonjohnston9488]

Which experts were they? All the experts I paid attention to over the years predicted all this for what'snow known as Web3. Don't blame 'the experts'. That's why we're in this mess in the first place.

[@adder3597]

​@@simonjohnston9488 A friend of mine, when we discussed it back in June 2021 and she was in the middle of training to go into banking, had this to say: "Crypto is a live lesson in why bankong regulations exist" 😂😂

[@williamdrum9899]

The blockchain is safe in the sense that you can't just guess someone's private key with a brute force attack. That's the only guarantee

[@ShaggyRogers1]

The blockchain is secure. The problem is that the people willing to exchange your blockchain tokens for real money are not secure or trustworthy.

[@psyboyo]

One crypto blow a day, keeps the channel ok! Wouldn't be surprised if Hundred "hacked" themselves, as an excuse to run with the money.

[@EkkoMr]

yeah ex. what i thought :D

[@SwedetasticGames]

The fact that both you and Kira had videos on sepperate Crypto clownery yesterday is just hillarious. So much chaos.

[@ruffethereal1904]

The trainwreck is so long and large two reporters can take on separate sections and come out with unique articles.

[@50factsabout]

The frequency of this has become almost comical

[@sliceofheaven3026]

Imagine a currency that is totally digital but which can be seemingly stolen relatively easily and be also exceedingly hard to track at times because of anonymity. Sounds like a safe investment to me.

[@Fimbulvinter19]

Another instance of cryptobros discovering the hard way why regulation and oversight exist. Rather than being able to bring this case to a regulator for assistance in tracking down the theft, they have to try and make contact with an anonymous account in order to reach an accommodation. What accommodation could they reach? The hacker already has the money, and is probably washing it through Tornado or similar crypto laundering sites as we speak.

[@Sleepfrog]

These videos have been a really entertaining addition to my days, thanks man

[@neveridle]

Omg its really going 1 per day

[@bensal106]

Interesting that they keep using the word hacked when this was an exploit.

[@FranNyan]

I feel like "hacked" is a placeholder word at this point for "Something bad involving computers happened"

[@ArDeeMee]

The mark of the tech-illiterate.

[@wymarsane7305]

"Oh my god our servers got hacked!" "Let me guess. You got a mail promising massive return on investment on some scheme and then you clicked on a link containing a RAT thereby granting full access to the attacker?" "No, I mean some lunatic literally walked into the room and went at the rack with a hatchet!"

[@PointsofData]

​@FranNyan yeah, "hacked" has been used when referring to people phishing for or guessing someone's password for a long time, so it's a catchall term

[@MyRegardsToTheDodo]

@@PointsofData Doesn't even have to be somebody guessing a password. You wouldn't believe the ammount of passwords I see on a daily basis as a tech support, or being told over the phone. Nowadays I try to avoid using TeamViewer, because of the times I logged onto somebody's computer, just to be greeted by an open word file containing all the passwords for the entire company.

[@kiwischolz9811]

At this point I'm waiting for the last of these scammers at the top of crypto food chain to realize that they might have gotten all the tokens, but there's no one left to exchange them for real money

[@CommissarMitch]

What I love so far is that these are 3 completely different stories with different issues and different L's. It is almost impressive and I hope Callum keeps up this diversity.

[@grzegorzdomagala9929]

one question - why is this considered an "attack"? As far i understand - everything worked as it should, no keys were compromised, there was no illegal acess to system. Somebody just used the contract as it was designed... Or am i missing something? Is it the "large borrow" part?

[@PointsofData]

It's not an attack lmfao. It's being mischaracterized because "attack" sounds better then "we fucked up and that allowed someone to compromise us".

[@williamdrum9899]

You are correct, which is why this doesn't fly in traditional finance. If a computer error puts a million dollars into your bank account, you'll get in trouble for spending it because it's not yours

[@MyRegardsToTheDodo]

Today everything is an attack or a hack.

[@clownworld5474]

​@@williamdrum9899 it's not a computer error though

[@SioxerNikita]

This is an attack and hack because it is abusing the code to create an outcome not intended. On traditional early netbanking some banks fucked up and you could write a negative number in the transfer amount. It might not be a sophisticated attack and hack, but it is regardless. You can take other people's money

[@MythrilZenith]

"Do we have a crypto fail today?" Well it's a day ending in Y, so probably.

[@moriakpotato]

I like the series. I enjoy Kira's crypto fail videos so I am glad you started your own. The more the merrier :D

[@ppsarrakis]

ofcourse the shadow cabal needs members

[@hugh_jasso]

The Crypto Crash and Musk's downward spiral has been the most entertaining events of 2023 so far.

[@miklov]

I remember how I liked the Christmas calendars with a candy for each day as a kid. The difference here is that the crypto fail candies doesn't come to an end after 4 weeks.

[@elLooto]

Its almost like tiny markets are easy to manipulate or something. Im sure no-one has ever observed this, and acted on it, in the past

[@TomJones-be5ny]

I always have a smile when I see a new video from you Callum. I won't be surprised to see day 50 on this Callender. Keep up the great work 👍👍

[@93izak]

Crypto L's are always a great watch

[@TheInternetHelpdeskPlays]

Merry Cryptmas. You should make this a yearly thing. I've even got a box of chocolates and im having one with each video.

[@VerhoevenSimon]

Your question at 6:00 seems quite apt, I've been wondering the same thing...

[@drakonlily]

I love this series so much.

[@Vroomerz]

Can you have a thermometer or graph of the running tally of the total "lost" since you started the Advent Calendar?

[@superscatboy]

Ironically, that thermometer would be so tall that it would actually reach the moon.

[@Vroomerz]

The gifts that keep on giving.

[@HoneyHeartstrings]

I will never, ever get tired of listening to cryptobros taking L's. Keep the series going until everybody becomes so aware that crypto-anything dies completely.

[@kiarastaggs180]

The Crypto advent calendar just keeps on giving

[@atraxian5881]

If I have to choose between getting part of my money stolen by the bank and the government or all of my money stolen by randoms on the internet... Well... I choose the bank and government. At least they are not stealing all of it and I know who is stealing it.

[@boozypixels]

Nice of them to throw everyone else under th bus with their 'discovery'

[@dylanherron3963]

Holy shit mate. You REALLY DO have a daily Crypto crush to document so far

[@LynnnnnnnnnN]

Loving this series 😎

[@aodfr]

This is why I decided to just watch the crytal situation instead of getting involved directly. Man that was the right call.

[@thesheeepjd]

The most surprising thing is not them losing money, that's par for the course. The most surprising thing to me is how many people still give them that much money.

[@DACrowley]

The hits keep on coming. Heck, we'll get to the moon just by climbing the mountain of failed crypto bros

[@klutterkicker]

1:48 This doesn't sound like a hack at all, it sounds like they took advantage of a poorly designed function that tries to balance the economy over time but doesn't make any consideration for large sudden movements.

[@lefterismplanas4977]

To be honest, I was a bit bored our of this topic But this advert t calendar is kinda funny xD Thank you for making it

[@24Coup]

Callum, I'm a non-crypto person who watches your content. Could you explain jargon a bit more? I have no clue what a lot of these acronyms are, etc. I could google but not sure if I'm the only non-crypto person here. Thanks! Edit: You do this a lot on game review videos (usually trashing them) where you explain certain game development aspects that helps viewers who aren't familiar with development (me) a lot!

[@reidleblanc3140]

Pretty sure none of us are crypto people; we are not so brain dead to "invest" in crypto

[@williamdrum9899]

Most of them are cryptocurrency names. Kind of like USD = United States Dollar etc

[@ndh06]

Another wonderful day in 4chan finance.

[@ash7324]

It only took a bit of tumult in the financial markets for crypto to collapse, both in value and in integrity. It’s a Wild West for scammers now and will be until it’s significantly regulated, at which point it loses the ‘decentralised’ part of it’s name, or the technology matures to the point where it actually develops a credible and secure utility. Which could be a very long way off considering the state it’s currently in.

[@wisnoskij]

I am not sure Iu understand how this is called a "hack" or even really an "exploit". It sounds like the economy is working exactly how it was designed? It is a poor design, but the price of something fluctuation with demand sounds like it was an intended feature.

[@AnimeSquirrel]

Correct me if I'm wrong because I'm not insane but, wasn't crypto originally supposed to be more secure than traditional investment and banking?

[@harleyjune]

Road to hell is paved with good intentions

[@williamdrum9899]

Yes but they found that blockchain is slow as hell so they used normal web2 stuff to work with it. Unfortunately blockchain is impossible to rollback so one screwup in web2 code = irreversible crypto theft

[@SnowyRains]

Definitely enjoying the series quite entertaining

[@Zack_Wester]

consider the state of crypto im surprised more people (manager) are not in jail for negate. had this been banks there would be a chain of CEO in jail for letting this get this bad.

[@SuperChaoticus]

If this were banks, the government would bail them out and their CEOs would all be doling out massive bonuses. To be clear, I'm referring to American banks.

[@carelhaasbroek1575]

I like the daily uploads. But is this sustainable?

[@battlion507]

As sustainable than a decentralized NFT lootbox bank.

[@PointsofData]

There will always be crypto Ls. Even if he runs low on new ones, he can go back to old ones. The only issue is whether this will get stale, but I personally feel so long as he keeps the videos short it's fine.

[@AlphaOmega1237]

3:00 A negotiation could be achieved if they work with crypto exchanges to blacklist and/or track any of the wallets the hacker is using. It's happened before in the crypto space that hackers gave back the money they stole because they had no way to safely cash it out. Granted the fact that this is even necessary is hilarious enough in of itself, not to mention how it's still possible for the funds to get laundered anyway.

[@PointsofData]

This happened with Poly Network. I only remember one coin being blocked though, most of the rest was transferred to various accounts (not all of them seem to be connected to the hacker.) The guy did eventually give back the rest but I think that was because he realized he couldn't cash it out with so many eyes on him.

[@AlphaOmega1237]

@@PointsofData That's probably the one that came to mind.

[@MyRegardsToTheDodo]

The "hacker" (if you can call him that, it wasn't really a hack) actually didn't do anything illegal here, as far as I understood it, so if they block him he could actually sue them. Best they can hope for is to get some of the money back, if they offer not to pursue the rest, because the "hacker" doesn't want the money to be tied up in some legal battle for quite some time.

[@solidzaku2]

They coded this mess this way. They allowed manipulations like this to occur through their incompetence. Can't blame this other guy for their own ineptitude. If code is law, don't have your laws written by first year legal aides.

[@DaRadicalCavy]

Every 7 we should do an award to the biggest fail of the week or something, like really make sure the companies/folk involved don't live it down

[@kodiakbricks5821]

Ah yes, gotta love Crypto for making the Fallout New Vegas Cliff Briscoe item durability glitch a reality. We truly live in the funniest timeline

[@CelticGuardian7]

Full thirty days? That makes me curious, would an advent calendar without a specific month be thirty or thirty-one days? Fun series regardless. =)

[@harleyjune]

I believe it would be 30 as we currently go off the roman calendar which added extra days and a couple of extra months.

[@CelticGuardian7]

@@harleyjune Fair enough, thanks for the answer!

[@danbrit9848]

we told them this would happen

[@jayraybro6284]

Probably one of the higher-ups realized the exploit and used it and they're just trying to get them to stop.

[@rjshadow4321]

so it was a basic stock manipulation? buy when cheep to raise prices then sale it all at once when high.

[@CainXVII]

Yes. We just need someone to take those cryptobros down a notch.

[@MyRegardsToTheDodo]

They do a pretty good job taking themselves down.

[@Sharlenwar]

This doesn't happen with all exchanges, just the sketchy ones.

[@williamdrum9899]

You're trusting your money with a machine that thinks 0 minus 1 equals 255

[@SioxerNikita]

Erm ... That depends on the code... Anti-overflow exists. Also it depends on the numerical type

[@williamdrum9899]

You know what I mean, I didn't feel like typing 0xFFFFFFFF... (repeat as necessary for the register size)

[@SioxerNikita]

@@williamdrum9899 No, I don't.. anti-overflow exists, so you can avoid this issue... For that matter, if you bank you are also trusting a machine

[@williamdrum9899]

​@@SioxerNikitaIt exists but there's a couple of high profile smart contracts that screwed this up 😂

[@SioxerNikita]

@@williamdrum9899 There has never, to my knowledge, been an overflow issue on crypto... There actually has in banks, but because they are local databases (with logs) they could remedy the issue. Blockchain couldn't if it happened. You'd have to refork or write custom code (and convince people to use it) to accept that accounts currency... they likely would that, because that amount of currency would be an issue to disappear.... Regardless, not an issue that has happened. So what the hell are you talking about?

[@DanielSmedegaardBuus]

This boy has the most impressive beard. If it weren't for the gamer chair, I'd have guessed he was like in his late twenties.

[@historichistory9992]

The KZbinr Bennett Tomlin recently did a live stream watching all of the Red Ape Family, including the rare 3rd episode. That could be a special day 7 treat, or do an episode every 7 days of the entire 30+ day of crypto calendar

[@RM_VFX]

Yes, keep mooning the cryptobros!

[@daveducont2587]

Hackers taking the Cryptography out of Cryptocurrency.

[@starvr]

How thick are these people that keep investing in these blockchain and bitcoins? How much loss are they going to take before they realise that it isn't an investment? And are any of them ever going to wake up? I assume the answers to be Very, All they have and They'll never wake up.

[@edwin4625]

They're all just hacking each other now. It's who ever can pull off the highest payout heist. I want to see more people lose their money.

[@NihlusKryik]

I’m guessing Crypto Advent is leading up to 20/04

[@quincykunz3481]

Isn't this literally how you crash the economy of No Man's Sky? Buy or sell a large amount of one thing to change the value, then reverse the transaction at the new value?

[@Barooth100]

Mom can we have an Advent Calendar? We have an Advent Calendar at home Advent Calendar at home:

[@marckhachfe1238]

I had to laugh at the video thumbnail Callum. 😂

[@21joebloe]

"frens" is also alt-right code speak btw

[@nitiratp]

Just one question: Man U or Forest? ;)

[@lucavalente6620]

Pardon me for the (probably) moronic question but.... wasn't one of the advantages of bitcoin, blockchain etc... that everything is traceable? Couldn't they find the IP adress?

[@rapturas]

I think you can send messages via some blockchains to wallet addresses so I guess they could communicate that way.

[@Zyrodil]

I'm here to defend "Frens" - it's just silly internet speak, don't give them that word! 😵‍💫

[@vxicepickxv]

When can I buy an annual crypto fail a day Callender?

[@Stonegolem6]

Loving it

[@Sycoinc]

do Day 7, quickest fails of a crypto (from launch to dead in XX hours or days)

[@ShawnKavanagh]

"Here's how we took another L, in a detailed manner" info dump All in the name of transparency? Some people reveal way too much information

[@tedferkin]

I don't actually see how they can be called a "hacker", I don't think they technically did anything wrong did they. They manipulated the algorithm.This is like the difference between tax evasion and tax avoidance. Avoidance is not illegal, taking advantage of bad algorithm also is not illegal either is it?

[@Disinterested1]

just awaiting the Spiffing Brit video now :) sounds more of an exploit than a hack to me if it was a hack then you'd be calling the police right?

[@ArDeeMee]

It’s not a bug, it as feature.

[@HopeYukizmizu]

at least it only affects scammers and influencer scum

[@Zenrei03]

Welcome to Fraud 3.0. Kira and Callum taking on Web3 garbage at the same time, yet the fact that they're not even covering the same things says too much about how much of a sinkhole it is

[@brucebrown2720]

Everyone loves schadenfreude.

[@andre_601]

Even tho I myself suffer financially (Won't give details, but can say it's with actual real life money and not crypto BS) do I enjoy watching those crypto bros burning up as they fall for one scam or issue after the other.... Feels like justice to me tbh.

[@tirone231]

You should take a look at the recent SafeMoon exploit! Exploiter stole 9million.

[@copperfield3629]

Crypto bro fails... what's not to love? Schadenfreude, baby 🤪

[@thesuperjacobshow8151]

IRL Infinite money glitch. LOL!

[@JohnSmith-xq1pz]

If Crypto bros taking the L was a blockchain it would dwarf them all 🤣🤣🤣

[@sascha5681]

Whoop Whoop. To the Moooooooon!!111

[@jorymo4964]

It's not even a hack, right? It sounds like their system was treated like an exploit in a video game.

[@Vyruz64]

25 more days of crypto fails lets go!

[@SuperChaoticus]

"Crypto is the way of the future". I really hope not, FFS.

[@grantkeller4634]

So when are you adding NFT integration to Nightmare World?

[@treyjordan3168]

Short Answer is more than likely Never

[@pelinoregeryon6593]

Three rules for either establishing or investing in a successful non-scam Crypto or NFT project. Rule 1: Play EVE Online and establish and set up and run an active in-game corporation with open membership for anyone that wants to join it for at least a year to establish for yourself a suitably jaded personal awareness of the propensity of real people for manipulation, cons and long cons to protect yourself with. Rule 2: Learn how the actual code and systems you are going to be using actually work so you are aware of their weaknesses and how easy to exploit the are. Rule 3: Don't do it and go do something else with your time and money with a much lower probability of you being ripped off 👍 so, that would be practically anything else accept playing the shell game with a random dude in the street who invited you to then 😁

[@sebytro]

At this point Web3.0 is something I'll never get into. Let's skip this one and leave it to the exploiters and scammers to scam each other and shoot themselves in the foot. I'm happy with my Web2.0

[@ArDeeMee]

It’s not a bug, it’s a feature.

[@JuliusZlioba]

Who still keeps investing in Web3? It's getting ridiculous at this point

[@CraftpaperSnake]

I'm addicted to crypto doofs losing money.

[@grayaj23]

If you had $12 million that you *could* anonymously rug, why would you not rug?

[@DavelyDriven]

7 Crypto L's a Swimming ffs