FlamingoFinance Loses $346,000 in DeFi Exploit Using $18M Flash Loan

FlamingoFinance lost about $345,900 in a DeFi exploit after an attacker manipulated share prices in older Flamincome contracts, security firm Blockaid said Wednesday.

The attacker used an $18 million USDT flash loan to increase the size of the trade and exploit the pricing flaw. The borrowed funds were used to interact with USDP liquidity-provider tokens held by a strategy contract.

Blockaid exploit detection system detected an exploit on old Flamincome contracts by @FlamingoFinance.
Attacker flashloaned ~$18M USDT, inflated VaultYUSDT share price by staking USDP LP into Strategy, then redeemed liquid aUSDT.

~$345.9k USDT attacker profit so far.

— Blockaid (@blockaid_) September 16, 2026

Flash Loan Drives Vault Manipulation

Blockaid said the attack inflated VaultYUSDT’s share price, allowing the attacker to redeem liquid aUSDT at a favorable rate.

Related: Zerodh…

Read The Full Article FlamingoFinance Loses $346,000 in DeFi Exploit Using $18M Flash Loan On Coin Edition.