Arbitrum’s largest liquidity manager Orange Finance loses $840k in hacker attack

Arbitrum-based Orange Finance lost $840,000 after hackers upgraded its contracts and depleted funds.

Orange Finance, a liquidity management protocol on the Arbitrum network, was hacked with a total loss of over $840,000. The team announced the news in an X post on January 8, urging users to avoid interacting with the platform.

Important Announcement – ​​January 8, 2025

A hacker captured the admin address, upgraded the contracts and transferred the money to their wallet.

The team isn’t sure what happened and is currently investigating.

The contract is no longer Orange.
DO NOT interact with it (e.g.…

— Orange Finance🍊 (@0xOrangeFinance) January 8, 2025

According to the Orange Finance team, a hacker “took over the admin address, upgraded the contracts and transferred the funds to their wallets” and also confirmed that the contract was no longer under the control of Orange Finance. The X post also states that the team is “unsure of the details at this time.”

In a follow-up post, the Orange Finance team said they contacted the hacker via an on-chain message, asking them to “respond positively within 24 hours” and promising that “no law enforcement agencies will be involved and the matter will be resolved.” It is considered a white hat hack.

Blockchain analysis firm Cyvers Alert added that the hacker had already converted the stolen funds into Ethereum (ETH). The Orange Finance team is still investigating the attack. To stay safe, users are being told to cancel all contract confirmations linked to Orange Finance.

Orange Finance is the largest liquidity manager at Arbitrum, with more than $1.5 million in total value locked before the attack, according to DefiLlama data.