Euler Labs Hacker Returns Stolen Funds - Full Recovery Timeline Revealed!
Twenty-three days after the hack, on April 4, Euler Finance announced that it could fully recover lost funds, ending its $1 million bounty.
Euler Finance persuaded hackers to return most of the money after being robbed of $196 million in a flash loan attack. This result resulted from many iterations over 23 days, ultimately leading the hackers to do the “right thing.”
Key Takeaways
- Euler Finance announced that it could recover the lost funds fully.
- March 14, Euler took precautionary steps to recover funds, disabling the vulnerable Etoken module.
- In a recent transaction, hackers sent 12 million DAI, and 10,580 ETH in multiple transactions.
Allbridge hackers returned most of the stolen funds and received a bounty from Allbridge. Ability to identify who he may have helped. A lot of work is going on behind scenes to make the industry safer.
On March 13, Euler Finance hackers executed multiple transactions, each withdrawing millions of dollars in various tokens or including Dai. DAI trades at $1.00, USD Coin USDC trades at $1.00, Stacked Ether (StETH) and Wrapped Bitcoin (WBTC).
As result, the total value of Euler locked-in smart contracts decreased from over $311 million to $10.37 million. In end, 11 decentralized finance (DeFi) protocols, including Balancer, Yearn. Finance and Yield Protocol had their funds frozen or lost.
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The following day, March 14, Euler took precautionary steps to recover funds, disabling vulnerable Etoken module donation functionality as the first action. Additionally, we worked with an accounting firm to analyze the root cause of the exploit.
Meanwhile, hackers began moving funds at will. The victim received 100 Ether worth $1,869 ETH in his ticker after convincing hackers that their savings were lost in the Euler hack. Over several days, hackers returned stolen funds of varying value.
Amid the turmoil, Euler Labs CEO Michael Bentley said ten separate audits over two years found the protocol “not low-risk” and “no outstanding issues.” declared to have been evaluated.
On March 21, Euler put his $1 million bounty on a hacker’s head after he ghosted during a conversation while trying to make a deal. Beginning March 25, the hacker returned his stolen assets in large numbers and multiple times.
Twenty-three days after the hack, on April 4, Euler Finance announced the total possible recovery of lost funds, thus ending the $1 million bounty.
“Because exploiter did right thing returned funds, and the $1 million reward campaign launched by Euler Foundation will no longer be accepting new information,”
Protocol stated.
In recent transactions, hackers sent 12 million DAI 10,580 ETH in multiple transactions. The crypto community applauded Euler Finance’s efforts to recover funds and restore investor confidence.
Gnosis, the team behind Gnosis Safe Multisig, Gnosis Chain, recently launched a hash oracle aggregator that improves bridge security by requiring multiple bridges to validate payments.
Euler Labs, a decentralized finance (DeFi) protocol, recently suffered a security breach in which several investors lost their funds.
Following the attack, Euler Labs announced it was working with cybersecurity experts to investigate the situation and develop a plan to recover the lost funds. In a subsequent update, Euler Labs revealed that it had identified the hacker and opened dialogue with them to negotiate the return of the stolen funds.
The timeline of events underscores the importance of security in the DeFi space and the need for robust measures to protect user funds. Despite the setback, Euler Labs has indicated that it remains committed to further developing its platform and advancing the DeFi industry.