Euler Labs hacker returns 'all of the recoverable funds' — Timeline

After being robbed of $196 cardinal successful a flash indebtedness attack, Euler Finance convinced its hacker wrong 25 days to instrumentality astir of the funds. The result was a effect of galore to and fro, which yet led the hacker to bash “the close thing.”

On March 13, the Euler Finance hacker carried retired aggregate transactions, each draining millions of dollars successful assorted tokens, including DAI (DAI), USD Coin (USDC), staked Ether (StETH) and wrapped Bitcoin (WBTC).

111 Funds stolen from Euler Finance. Source: BlockSec

As a result, Euler’s full worth locked wrong its astute contracts has dropped from implicit $311 cardinal to $10.37 million. Ultimately, 11 antithetic decentralized concern (DeFi) protocols, including Balancer, Yearn Finance and Yield Protocol, either froze oregon mislaid funds.

At 10:00 UTC Balancer contributors became alert of an exploit connected Euler. It was determined the champion people of enactment was to intermission and enactment into betterment mode bbeUSD (Euler Boosted USD) and each pools containing bbeUSD. This was executed by the exigency subDAO astatine 11:00 UTC.

The adjacent day, March 14, Euler took proactive measures to retrieve funds, which progressive disabling its susceptible etoken module and donation relation arsenic the archetypal people of action. In addition, it worked with auditing companies to analyse the basal origin of the exploit.

Parallely, Euler tried contacting the hackers to negociate a bounty. On March 15, the hacker received an ultimatum to instrumentality 90% of the stolen funds and threatened to denote a $1 cardinal reward for accusation that could pb to the hacker’s arrest. This woody would let the hacker to get distant with $19.6 million.

The hacker, connected the different hand, started moving funds astatine will. One unfortunate received 100 Ether (ETH) aft convincing the hacker that his beingness savings were mislaid successful the Euler hack. Over respective days, the hacker started returning the stolen funds, each varying successful value.

Amid the chaos, Euler Labs CEO Michael Bentley revealed that 10 abstracted audits conducted implicit 2 years deemed the protocol “nothing higher than debased risk” and had “no outstanding issues.”

On March 21, Euler launched a $1 bounty reward against the hacker aft being ghosted mid-conversation while trying to onslaught a deal. Starting connected March 25, the hacker started returning the stolen assets in ample numbers on aggregate occasions.

23 days aft the hack, connected April 4, Euler Finance announced the full imaginable betterment of the mislaid funds, frankincense ending the $1 cardinal bounty. “Because the exploiter did the close happening and returned the funds, and the $1 cardinal reward run launched by the Euler Foundation volition nary longer beryllium accepting caller information,” the protocol stated.

In the last transactions, the hacker sent 12 cardinal DAI and 10,580 ETH successful multiple transactions. The crypto assemblage applauded Euler Finance’s effort to retrieve funds and reconstruct investors’ confidence.

Related: Allbridge offers bounty to exploiter who stole $573K successful flash indebtedness attack

Gnosis, the squad down Gnosis Safe multi-sig and Gnosis Chain, precocious launched a hash oracle aggregator to improving the information of bridges by requiring much than 1 span to validate a withdrawal.

As Cointelegraph reported, over $2 cardinal was stolen from bridges successful 2021 and 2022, chiefly owed to bugs and wallet attacks.

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