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Aztec Network suffers attack with losses exceeding $2.15 million, due to ZK proof and L1 settlement boundary mismatch
Odaily Planet Daily News reports that, according to BlockSec Phalcon (@Phalcon_xyz) analysis, Aztec Network's RollupProcessorV3 contract was attacked, resulting in losses of over $2.15 million. The root cause was that numRealTxs was not effectively bound to the set of transactions enforced by the ZK proof, leading to discrepancies between the proof verification path and the L1 settlement logic's interpretation of the transaction list.
The attacker exploited this vulnerability to move real deposits into slots not processed by the settlement logic, bypassing the decreasePendingDepositBalance() function, creating unsecured private balances out of thin air, and then withdrawing through the normal settlement process, involving seven types of assets.