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Avalanche Tranche Vault loses $1.01M USDC in flash loan attack exploiting share inflation

Market News
28 Oct 2026, 22:19 WIB
Tokenpost
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Bearish
Avalanche Tranche Vault loses $1.01M USDC in flash loan attack exploiting share inflation

A Tranche Vault on the Avalanche blockchain lost about $1.01 million in USD Coin (USDC) after an attacker used a flash loan to inflate tranche shares and redeem the vault's remaining funds. The attack occurred on October 27 and involved borrowing funds to mint inflated shares, which were then redeemed for USDC still held by the vault. This exploit highlights risks in DeFi protocols using flash loans for quick, single-transaction borrowing and repayment. The vault is linked to Valinor Digital and Fence, but the operator remains unidentified. The incident is ongoing as of the last alert from Blockaid.

The Avalanche Tranche Vault lost about $1.01 million in USD Coin (USDC), providing context for readers interested in this event. For readers following major cryptocurrencies on Pluang, here is the market snapshot as of Oct 29, 2026 02:32 WIB: out of 50 priced major cryptocurrencies, 40 rose and 8 fell today. Notable movers include NEO at Rp38.699 with a 1-day change of +2.84% and Pluang order activity of 16% Sell / 84% Buy, LINK at Rp212.750 with +2.59% and 65% Sell / 35% Buy, and AAVE at Rp2.455.338 with +2.50% and 54% Sell / 46% Buy.

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