MEDIUMArbitrumOracle ManipulationMONITORING

Sharwa MarginTrading

Defimon-style Telegram alert: Sharwa priced Hegic option NFT collateral from a low-liquidity Uniswap V3 spot quote without TWAP or Chainlink fallback.

Loss

$32,850

Risk

Low-liquidity oracle risk

Confidence

81%

Instant Forensic Report · x402 on Solana

Unlock the full AI-generated breakdown

Pay once with SOL via x402 — the machine-to-machine payment protocol on Solana. Full wallet trace, fund flow graph, exploit PoC, and PDF export unlocked instantly.

HTTP 402 · x402 Protocol

Full wallet flow graph

Exploit PoC breakdown

Fund tracing report

PDF export + API

Free in 24h

x402 · HTTP 402 payment required · Solana Mainnet · Demo mode

AI Generated Breakdown

Reporter Agent synthesis with forensic confidence scoring

Attack explanation

The attacker used safeTransferFrom on a Hegic option NFT to trigger onERC721Received and drain about 33k USDC through spot-priced collateral assumptions.

Root cause analysis

MarginTrading relied on a low-liquidity spot Quoter for NFT collateral pricing instead of TWAP, Chainlink, or conservative pricing fallback.

confidence score

Low-liquidity oracle risk

Wallet Flow Visualization

Attacker path, bridge transfers, token drains, mixer usage

interactive graph

Attacker Wallet 7bF...9Qx

Token Drains $42.1M

Bridge Transfer SOL -> ETH

Mixer Usage 6 hops

CEX Deposit Tagged

Dormant Wallet Watching

Technical Breakdown

Attack vector

Spot oracle manipulation with NFT collateral callback path

Vulnerability

Low-liquidity spot quote accepted as collateral value

Affected contracts

0x05cfcfe9bdf8d19aaea3ba417e6559aee37c82120974e75335d06e56030f4dad0x4551835e7C40d2A3D407C89D6a91eFF98285C6810xadc949f8b8dfb89e4b2fa2cb0d46f11e395c2cf70x729cf665c09ef112c607290415a566fffa45826f

Mitigation suggestions

Replace spot quote collateral pricing with TWAP and independent oracle fallback

Disable callback-sensitive collateral flows until reviewed

Add liquidity depth checks before accepting option NFT collateral valuations

Emergency Bridge

Move funds off Arbitrum

Powered byLI.FI

If your assets are at risk on Arbitrum, bridge them to a safer chain immediately via LI.FI — the cross-chain aggregator covering 60+ chains and all major Solana bridges.

From (at risk)

Arbitrum

Bridge to

Best Route via LI.FI

Arbitrum → Ethereum

Mayan Swift • Across • Glacis aggregated

Est. Fee

~$0.50

Open LI.FI Bridge

60+ chains · gasless swaps on Solana · Jito bundles

60+

Chains

$2B+

Volume

20+

Bridges

Exploit Timeline

00:00

Suspicious activity begins

NullTrace Scout Agent detects abnormal account, wallet, or market behavior.

00:19

Exploit pattern classified

Analyst Agent matches the activity against known Web3 attack signatures.

00:41

Funds movement traced

Forensics Agent clusters wallets, bridge routes, exchange hops, and mixer exposure.

01:12

Response tracked

Protocol actions, freezes, recovery updates, and public statements are added to the dossier.

Related Tweets

Demo X/Twitter integration for researcher posts, warnings, and fake-info checks

related tweets demo scan

NullTrace links social posts to the incident by contract mentions, protocol name, researcher credibility, and fake-loss detection tags.

Defimon Alerts

@DefimonAlerts · May 1

Warning

Sharwa.finance loss $32,850. MarginTrading relied on Uniswap V3 spot Quoter for Hegic option NFT collateral.

NullTrace Intel

@nulltrace_ai · 4m

Confirmation

On-chain behavior and public reports are aligned. Confidence raised after wallet clusters matched the incident pattern.

Maya Chen

@maya_sec · 7m

Researcher

The important signal is not only the drain. Watch the staging wallets and the small test transactions before the main move.

Rumor Watch

@intel_filter · 10m

Fake Info Flag

Unverified recovery claims are circulating. No confirmed full recovery unless the protocol or tracked wallet flows support it.

suppressed by misinformation filter