On August 19, 2023, Harbor Protocol's oracle was manipulated via low-liquidity cSwap prices. An attacker borrowed CMST against inflated stOSMO, LUNA, and WMATIC collateral, draining ~$250K and dropping TVL from ~$370K to ~$81K.

Harbor Protocol, the Cosmos ecological cross-chain stablecoin protocol, tweeted that Harbor Protocol was exploited, causing stablecoin minting and part of the funds in stOSMO, LUNA and WMATIC vaults to be depleted. From the information gathered so far, the attackers used the following address to perform all operations: comdex1sma0ntw7fq3fpux8suxkm9h8y642fuqt0ujwt5. Harbor Protocol lost 42,261 LUNA, 1,533 CMDX, 1,571 stOSMO, and 18,600,000,000,000,000 WMATIC-WEI in the attack.