Renzo, an Ethereum liquid restaking platform, reported a security breach on its Discord server on July 22. Hackers posted malicious links, prompting a phishing alert.
Renzo urged users not to engage with any new messages or posts on the platform. The extent of the compromise and losses, if any, are currently unknown.
Renzo’s native token, REZ, remained stable after the news, showing a slight 0.7% increase, despite many other digital assets seeing minor declines.
Liquid restaking (LST) protocols, such as those bolstered by EigenLayer, hold over $14 billion in user deposits. These platforms have grown in popularity due to additional yield opportunities.
Despite Renzo’s 44% decline in the past month, it remains the second-largest liquid restaking provider.
Bad Actors Target Renzo and DeFi
The breach of Renzo’s Discord is part of a broader trend of increased hacking attempts on DeFi platforms. Last year, scammers stole nearly $1 million through a fake Across Protocol Discord server.
Hackers also imitated CertiK’s Discord link, leading to a phishing campaign that stole over $6 million in crypto. Last September, criminals used social media platforms like X to launch their attacks.
More recently, major DeFi domains faced attacks on registrar Squarespace, impacting protocols like Celer Network and Compound Finance before the issue was contained.
