Twenty-three days after the hack, on April 4th, Euler Finance announced that it may be able to fully recover the lost funds, ending its $1 million bounty.
Euler Labs Hacker Returns All of the Recoverable Funds
Euler Labs persuaded hackers to return most of the money after being robbed of $196 million in flash loan attack. This was the result of many iterations over 23 days, until the hackers finally did “the right thing.” On March 13th, hackers at Euler Finance executed multiple transactions, each with millions of dollars in the form of various tokens (Dai, USD coin, Stacked Ether (StETH), Wrapped Bitcoin (WBTC), etc.
As a result, the total value of Euler Labs locked in smart contracts decreased from over $311 million to $10.37 million. In the end, 11 different decentralized finance (DeFi) protocols, including Balancer, Yearn.finance and Yield Protocol, had their funds frozen or lost. The following day, March 14th, Euler Labs took precautionary steps to recover the funds, disabling the vulnerable Etoken module and donation functionality as a first action. Additionally, it worked with auditing firms to analyze the root cause of the exploit. This deal would allow the hacker to get away with $19.6 million.
On the other hand, the hacker has started transferring money at will. One victim received 100 Ether (ETH) after convincing the hacker that his savings were lost in the Euler hack. Within days, the hacker returned the stolen funds, each with a different value. From March 25, the hacker began returning his stolen assets in large numbers and multiple times. Twenty-three days after the hack, on April 4th, Euler Labs announced that it may be able to fully recover the lost funds, ending its $1 million bounty.
“Because the exploiter did the right thing and returned the funds, and the $1 million reward campaign launched by the Euler Foundation will no longer be accepting new information,” the protocol stated.
In a recent transaction, the hacker sent 12 million DAI and 10,580 ETH in multiple transactions. The cryptocurrency community applauded Euler Finance’s efforts to recover funds and restore investor confidence. Gnosis, the team behind Gnosis Safe multisig and Gnosis Chain, recently launched a hash oracle aggregator that improves bridge security by requiring multiple bridges to validate withdrawals.
As reported by Cointelegraph, more than $2 billion stolen from Bridge in 2021 and 2022, mostly due to bugs and wallet attacks.
Source
Check out more of our latest news here
Leave a comment