Mixin Network, a decentralized cross-chain protocol, in a message to the hacker behind the $200 million exploit on Sept. 23, has provided a $20-million bug bounty for the return of the remaining funds.
Mixin Network encrypted the message with the exploiter transaction, requesting the exploiter to return the funds as nearly all of the stolen funds had been consumer property.
“Most of our platform assets were users, and we hope you can refund them. You can keep $20M of the assets as a BUG Bounty Reward for the BUG.”
Mixin Network confirmed the exploit on Sept. 25, claiming the exploiters managed to breach a third-party cloud service supplier, which resulted in the theft of almost $200 million of property from the platform.
[Announcement] In the early morning of September 23, 2023 Hong Kong time, the database of Mixin Network’s cloud service supplier was attacked by hackers, ensuing in the lack of some property on the mainnet. We have contacted Google and blockchain safety firm @SlowMist_Team…
— Mixin Kernel (@MixinKernel) September 25, 2023
Feng Xiaodong, founding father of Mixin, said on the time that the corporate would reimburse affected customers up to a “maximum of 50%,” with the remaining quantity being handed again in bond tokens that the enterprise would then repurchase with its earnings.
Mixin is but to supply full particulars about what led to the exploit, however an on-chain analytic platform highlighted a historical past of the hacker’s interactions with Mixin Network. The hacker-associated tackle 0x1795 obtained 5 Ether (ETH) from Mixin in 2022.
Related: Remitano exchange hacked for $2.7M; $1.4M frozen by Tether
While it’s nonetheless unclear how the exploiters managed to steal $200 million value of property by way of an information breach, cross-chain protocols in the decentralized finance (DeFi) area have been the goal of a few of the greatest exploits in crypto historical past. One report signifies more than half of all DeFi exploits occur on cross-chain protocols, which have resulted in losses of over $2.5 billion.
Cross-chain protocols assist with interoperability between completely different chains, permitting customers to ship property from one blockchain to one other. Thus, these cross-chain protocols typically maintain a big quantity of property from a number of chains, making them weak to such exploits.
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