BlockBeats News, March 16th, Aave and CoW Swap have released contrasting incident analysis reports on the “Flash Loan Attack causing $50 million in losses” event. Aave’s core statement is that the event was due to insufficient market liquidity, not slippage. User orders far exceeded available market liquidity, with CoW Swap quoting 99.9% lower than the expected market clearing price, and users confirmed acceptance of that quote.
CoW Swap, on the other hand, pointed out that our gas limit was actually outdated, the optimal solver won two auctions but never submitted any transactions on-chain, and the transactions may have leaked from a private mempool. Checkbox should not be the sole security measure.
It is worth noting that neither report mentioned the MEV bot that extracted approximately $44 million from this transaction.
