The DeFi protocol Gamma recently lost 1500 ETH, equivalent to 3.4 million dollars, due to an exploit. This incident was detected by auditors from blockchain companies PeckShield and BlockSec. In response, the Gamma team temporarily suspended the ability to deposit funds, although fund withdrawal remains available, and the management of Gamma's vaults continues as usual.

Gamma Strategies is a decentralized protocol that allows users to deposit funds into pools and earn income from liquidity management. The protocol supports over 50 trading pairs and collaborates with more than 10 market makers, with the total value locked (TVL) in the project exceeding 100 million dollars. The protocol operates on five different blockchains, including Ethereum and Arbitrum.

Following the incident, Gamma developers stated that the fund deposit function will not be resumed until the problem is identified and resolved. BlockSec experts identified a critical vulnerability in the protocol's accounting mechanism, pointing to a discrepancy between the methods of accounting for deposits and withdrawals. This led to a divergence between liquidity and rewards.

The hacker behind this exploit transferred a portion of the stolen funds (1000 ETH worth 2.2 million dollars) to the cryptocurrency mixer Tornado Cash, which has been placed on the US sanctions list. In response, Gamma developers offered to negotiate with the hacker for the return of some of the funds.

This incident serves as a reminder of the risks associated with investing in cryptocurrency projects and the importance of thorough security audits in the blockchain space.