NewsBTC
No Result
View All Result
  • Cryptocurrency News
    • Bitcoin News (BTC)
    • Ethereum News (ETH)
    • Ripple News (XRP)
    • Shiba Inu News (SHIB)
    • Cardano News (ADA)
    • Dogecoin News (DOGE)
    • Solana News (SOL)
    • Litecoin News (LTC)
    • Avalanche News (AVAX)
    • Polygon News (MATIC)
  • Crypto Prices
    • Binance Coin (BNB) Price
    • Bitcoin (BTC) Price
    • Cardano (ADA) Price
    • Chainlink (LINK) Price
    • Dogecoin (DOGE) Price
    • Ethereum (ETH) Price
    • Litecoin (LTC) Price
    • Polkadot (DOT) Price
  • Crypto Resources & Directory
  • All Crypto
  • Play GamesTry
  • CasinosTry
Breaking News: Bitcoin Hits ATH Of $112,000, Expert Predicts Rally Is Just Beginning
  • Cryptocurrency News
    • Bitcoin News (BTC)
    • Ethereum News (ETH)
    • Ripple News (XRP)
    • Shiba Inu News (SHIB)
    • Cardano News (ADA)
    • Dogecoin News (DOGE)
    • Solana News (SOL)
    • Litecoin News (LTC)
    • Avalanche News (AVAX)
    • Polygon News (MATIC)
  • Crypto Prices
    • Binance Coin (BNB) Price
    • Bitcoin (BTC) Price
    • Cardano (ADA) Price
    • Chainlink (LINK) Price
    • Dogecoin (DOGE) Price
    • Ethereum (ETH) Price
    • Litecoin (LTC) Price
    • Polkadot (DOT) Price
  • Crypto Resources & Directory
  • All Crypto
  • Play GamesTry
  • CasinosTry
Bitcoin News
No Result
View All Result
Breaking News: Bitcoin Hits ATH Of $112,000, Expert Predicts Rally Is Just Beginning

COVER Price Plummets Towards Zero Following Lethal Minting Function Exploit

Cole Petersen
Cole Petersen
4 years ago
2 mins read
COVER

Reason to trust

Strict editorial policy that focuses on accuracy, relevance, and impartiality
Created by industry experts and meticulously reviewed
The highest standards in reporting and publishing
How Our News is Made

Strict editorial policy that focuses on accuracy, relevance, and impartiality

Ad discliamer

Morbi pretium leo et nisl aliquam mollis. Quisque arcu lorem, ultricies quis pellentesque nec, ullamcorper eu odio.

COVER has been gaining serious hype throughout the past few months, despite its turbulent beginnings. What started as “SAFE” ultimately became COVER following some contentious battles between the early developers.

COVER ultimately was adopted by the Yearn.finance ecosystem and grew under Yearn founder Andre Cronje’s guidance. It secured a coveted Binance listing early on and saw some massive upside.

However, its promising growth dissolved overnight, with a lethal minting function exploit causing the cryptocurrency’s price to collapse towards zero, with its liquidity all but being dissolved.

The lack of liquidity and the fact that multiple different parties exploited this function drove its price towards zero. Although it has recovered from its lows, its limited liquidity on Uniswap and other AMMs makes it nearly untradeable for those looking to buy or sell with size.

The largest exploiter was able to cash out roughly $3.2 million before liquidity dried up, causing them to burn the remaining tokens that they gained overnight.

Another exploiter returned the tokens they took, but the damage done to the token has been catastrophic, and the COVER team has warned against users purchasing tokens.

COVER Price Collapses Following Lethal Minting Function Exploit

Overnight while the COVER development team was asleep, a few malicious hackers discovered a way to essentially mint infinite tokens, allowing them to clear out the liquidity pools and place endless selling pressure on the token.

This caused its price to collapse from pre-exploit weekly highs of over $1,000 to lows of nearly $40 on Uniswap before it found some buy-side pressure.

At the time of writing, it is currently trading down 75% at its current price of $217. Although it has rallied from its lows, the lack of liquidity and uncertainty about the token’s future makes it a highly speculative play for traders.

Hackers Made Away with Millions via the Exploit

Multiple parties were involved with the overnight COVER exploit, with one group of white hat hackers returning the funds they took, while others moved to clean out the liquidity pools before burning the rest of the tokens.

One analyst spoke about this exploit, explaining that nefarious users could stake their tokens, un-stake and claim, and continue doing this on repeat.

“COVER exploited: tl;dr infinite minting bug on their incentives contract. Stake > unstake + claim > re-stake > repeat.”

The same analyst further added that this exploit has not impacted the COVER protocol, but rather just the token’s price.

“Just to be clear: This does not affect the protocol (which is working perfectly), the exploit only affects COVER price.”

The token’s future remains unclear at the moment, but the COVER team has since patched the exploit.

Featured image from Unsplash.
Tweet123Share196ShareSend
Cole Petersen
Cole Petersen

Cole Petersen

Cole is a cryptocurrency analyst based in Los Angeles. He studied at the University of California Irvine and has been interested in Bitcoin and the crypto markets since 2013.

Disclaimer: The information found on NewsBTC is for educational purposes only. It does not represent the opinions of NewsBTC on whether to buy, sell or hold any investments and naturally investing carries risks. You are advised to conduct your own research before making any investment decisions. Use information provided on this website entirely at your own risk.

Related News

Aave

Liquidation Alert As High-Risk Loans On Aave Reach $1 Billion – Details

According to a report by data analytics company IntoTheBlock, the volume of high-risk loans on the prominent Aave Protocol is...

Semilore Faleti 1 year ago

Rocket Pool Stands To Reap Big From Ethereum’s Dencun Upgrade, RPL Flying

The Ethereum liquidity staking protocol Rocket Pool is on the brink of a massive transformation with the incoming Dencun upgrade....

Dalmas Ngetich 1 year ago
dYdX token unlock

dYdX to Unlock Over 33 Million Tokens: Will Price Crash?

dYdX, a decentralized exchange (DEX), will unlock over 33 million DYDX worth approximately $90 million on February 1. This significant token unlock...

Dalmas Ngetich 1 year ago
Load More

Reason to trust

Strict editorial policy that focuses on accuracy, relevance, and impartiality
Created by industry experts and meticulously reviewed
The highest standards in reporting and publishing
How Our News is Made

Strict editorial policy that focuses on accuracy, relevance, and impartiality

Ad discliamer

Morbi pretium leo et nisl aliquam mollis. Quisque arcu lorem, ultricies quis pellentesque nec, ullamcorper eu odio.

Related News

Bitcoin nove maximum ATH 2025

Bitcoin prekročil hranicu 118 000 $. Bude Bitcoin Hyper katalyzátorom ďalšieho rastu?

Nina Šefčíková 1 day ago
World Liberty Financial

BNB Chain Reports 58% Revenue Surge In Q1, Driven By Increased On-Chain Activity

Ronaldo Marquez 2 months ago
DeFi

DeFi Exploits Plunge 40% In 2024, But Centralized Exchange Losses Soar – Report

Ash Tiwari 6 months ago

Premium Sponsors

Press Releases

  • ビットコインが11万8,000ドルの最高値を記録する中で注目すべき仮想通貨プレセール

    ...

    3 hours ago
  • 仮想通貨 おすすめ|急騰するDogwifhatとFartcoin、注目の低価格ミームコインとは?

    仮想通貨...

    4 hours ago
  • 新しい仮想通貨価格動向|話題の最新コインの成長可能性

    ...

    4 hours ago
  • アルトコイン注目銘柄|2025年7月第2週に見るべき3銘柄

    ...

    4 hours ago
  • ロビンフッドが1ドルから始めるETHとSOLのステーキングを開始──今注目の仮想通貨投資はこれだ?

    ...

    4 hours ago

Newsletter

Be the first to get the latest important crypto news & events to your inbox.

  • This field is for validation purposes and should be left unchanged.

About Us

NewsBTC is a cryptocurrency news service that covers bitcoin news today, technical analysis & forecasts for bitcoin price and other altcoins. Here at NewsBTC, we are dedicated to enlightening everyone about bitcoin and other cryptocurrencies.

We cover BTC news related to bitcoin exchanges, bitcoin mining and price forecasts for various cryptocurrencies.

Disclaimer: The information found on NewsBTC is for educational purposes only. It does not represent the opinions of NewsBTC on whether to buy, sell or hold any investments and naturally investing carries risks. You are advised to conduct your own research before making any investment decisions. Use information provided on this website entirely at your own risk.

Company

  • About Us
  • Advertising
  • Contact Us
  • Privacy Center

Social

© 2025 NewsBTC. All Rights Reserved.

  • Cryptocurrency News
    • Bitcoin News (BTC)
    • Ethereum News (ETH)
    • Ripple News (XRP)
    • Shiba Inu News (SHIB)
    • Cardano News (ADA)
    • Dogecoin News (DOGE)
    • Solana News (SOL)
    • Litecoin News (LTC)
    • Avalanche News (AVAX)
    • Polygon News (MATIC)
  • Crypto Prices
    • Binance Coin (BNB) Price
    • Bitcoin (BTC) Price
    • Cardano (ADA) Price
    • Chainlink (LINK) Price
    • Dogecoin (DOGE) Price
    • Ethereum (ETH) Price
    • Litecoin (LTC) Price
    • Polkadot (DOT) Price
  • Crypto Resources & Directory
  • All Crypto
  • Play Games
  • Casinos
Advertise

© 2025 NewsBTC. All Rights Reserved.

This website uses cookies. By continuing to use this website you are giving consent to cookies being used. Visit our Privacy Center or Cookie Policy.