Blockchain security firm CertiK has flagged a security breach on Arbitrum, where an attacker exploited a signature verification bypass, draining approximately $140,000 from various unverified swap adapter contracts.
Details of the Exploit
On March 10 at 04:06 UTC, CertiK Alert reported on X (formerly Twitter) that an attacker likely leveraged an arbitrary smart contract call vulnerability to bypass signature verification. This crucial security feature ensures that only authorized transactions can be executed within smart contracts.
The attacker tricked users into unknowingly approving a fraudulent contract. Once approved, this malicious contract executed external calls, enabling the attacker to move funds without requiring a valid signature.
CertiK’s blockchain transaction analysis tool, CertiKAIAgent, later detected multiple suspicious transactions linked to the exploit and urged affected users to immediately revoke approvals to prevent further losses.
Impact on Arbitrum and the DeFi Ecosystem
As of now, Arbitrum’s team has not officially responded to the incident. However, security vulnerabilities of this nature could erode confidence in the Arbitrum ecosystem, prompting users and liquidity providers to withdraw funds.
This exploit adds to a string of recent crypto security breaches. In February 2025 alone, hacks and frauds resulted in over $1.5 billion in losses. Major incidents included:
Bybit Hack ($1.4 billion loss) – A hot wallet breach compromised exchange funds.
zkLend Exploit ($9.5 million loss) – Smart contract vulnerabilities led to unauthorized withdrawals.
0xInfini Hack ($49.5 million loss) – Attackers exploited weaknesses in DeFi protocols.
The growing frequency of such attacks highlights the urgent need for stronger security measures in the decentralized finance sector. Users are advised to review contract approvals, use trusted security tools, and remain cautious when interacting with new protocols.
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