Stars Arena Breach Sees Hacker Return 90% of Stolen Assets as a Surprise Twist in the Tale

Crypto News– Stars Arena, the social protocol built on Avalanche, has managed to recover approximately 90% of the funds that were lost in a security breach last week. This recovery was made possible through successful negotiations with the individual responsible for the attack, as confirmed by the Stars Arena team.

Stars Arena Breach Sees Hacker Return 90% of Stolen Assets as a Surprise Twist in the Tale

On October 7, Stars Arena experienced a significant security exploit that resulted in the loss of funds locked within its smart contract. Security experts from PeckShield estimated that the exploit’s size was around 266,104 AVAX coins, valued at $2.9 million at the time. Consequently, the app’s total value locked dropped to zero.

The breach was attributed to a reentrancy issue that allowed attackers to sell platform tickets, granting access to individual chat rooms, at inflated prices. In the wake of this security incident, Stars Arena issued a warning to its users, advising them not to deposit any more funds.

In an unexpected turn of events, Stars Arena managed to reach an agreement with the hacker. According to the terms of the agreement, the hacker would return approximately 90% of the stolen funds in exchange for a 10% bounty. Out of the 266,104 AVAX taken, the hacker has returned 239,493 AVAX in two separate transactions. As a reward for this action, the hacker received a bounty of 27,610 AVAX, which is currently valued at $250,000, according to the Stars Arena team.

What is Stars Arena?

Stars Arena is a derivative of FriendTech, a platform that enables the buying and selling of influencer profile tokens, allowing access to individual chat rooms.