Blockchain security company CertiK announced that it had successfully frozen $160,000 of the $1.8 million taken by rogue developers from Merlin DEX.
CertiK Successfully Freezes 160K of $1.8 Million Stolen
The blockchain security firm reiterated that Merlin was rug-pulled by insiders in a thread on Twitter on May 4.
The project’s other team members, according to the company, refused to confirm their real names, making attempts to work together fruitless.
CertiK’s Statements
According to the blockchain security firm, its efforts to assist exploited victims were hampered by this lack of cooperation. However, it made a point of saying that it was coordinating with law enforcement to prosecute the hackers. The smart contract auditor further stated that $2 million had been allocated to the fight against exit scams.
A few days after it launched on April 24, the zkSync-based decentralized exchange was hacked. In their audit of the company at the time, the blockchain security firm noted that the project had “centralization risks”.
In a recent statement, the blockchain security firm admitted that it did not go far enough to adequately emphasize this risk.
Although the centralization risks were called out in the report, we didn’t make the impact of these findings as clear as they needed to be. The centralized privileges should have been distinctly highlighted so users were aware of the risks.
CertiK Team
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