Due to low liquidity, the $MOO price started to increase, at the same time increasing the collateral value
The attacker then borrowed $CELO and used $MOO as collateral, after that, $CELO was exchanged for $MOO again, and the price of $MOO increased steadily.
By repeating this cycle, the price of the $MOO token increased from $0.018 to $0.65. A huge loan was taken out at these inflated prices.
Moola Market tweeted it is contacting law enforcement and is willing to negotiate a bounty. Later they updated, “Following today’s incident, 93.1% of funds have been returned to the Moola governance multi-sig.”