A decentralized finance protocol New Free Dao was attacked by a series of Flash loans on Thursday which led to the crashing of the protocol. The platform lost about $1.25 million and the native token NFD fell 99% rendering it almost useless. Flash Loans are a type of loan provided by some DeFi lenders that allow borrowers to borrow huge amounts of assets without giving any collateral upfront. The sole condition is that the funds are to be returned as a whole in a single transaction. According to crypto security firm Certik, the attacker executed three Flash loans by exploiting an unverified contract by using the “add member()” function to add themselves as a member.