Ethereum restaker Renzo reports breached Discord

Ethereum liquid restaking platform Renzo has become the latest defi operator to report a settlement as of July 22.

According to a community alert, rogue actors took over the Renzo Protocol Discord server on Monday and posted malicious links in what appears to be a phishing exploit. Renzo warned its members to avoid engaging with posts or messages sent by anyone until further notice. At press time, it was unclear whether users experienced any losses or if the hackers stole any funds.

Renzo’s native token REZ was unaffected by the news, with the cryptocurrency showing a slight 0.7% slide upwards, while several digital assets saw modest declines.

🚨 Community Alert: Renzo Discord Server Violation

Renzo Our Discord server has been compromised by malicious actors. Please avoid clicking on any links posted on the server.

At this time, treat all messages and links from server administrators as potentially dangerous. All…

— Renzo (@RenzoProtocol) July 22, 2024

Liquid restake (LST) protocols hold over $14 billion in user deposits per DefiLlama. Such platforms have gained popularity due to the discourse around EigenLayer, a defi tool that allows users to earn additional yield and secure other networks using staked Ether (stETH).

Despite a 44% decline in the last 30 days, Renzo is still the second largest liquid backtake provider in the market.

Bad actors target Renzo and defend him

The LST platform is one of many defi solutions that have faced hacking attacks. Late last year, scammers stole nearly $1 million via a fake Across Protocol Discord server.

Malicious actors impersonated CertiK’s Discord link for a phishing campaign, and criminals stole more than $6 million in crypto last September using social media platforms like X. More recently, hackers targeted defi domains in a widespread attack on registrar Squarespace. The most notable protocols, Celer Network and Compound Finance, were affected before the issue was resolved.