- Quite recently, with a security vulnerability in six tokens, the users of Multichain ended up losing more than 3 million dollars in less than a week.
- Even after returning that big of an amount of ETH, there is still a pretty huge share of the coins currently lost and under the possession of other hackers.
- The news for the vulnerability in the Multichain world started just a week before. The vulnerability was due to the tokens related to MATIC, AVAX, WETH, OMT, PERI.
Quite recently, with a security vulnerability in six tokens, the users of Multichain ended up losing more than 3 million dollars in less than a week. However, a hacker claiming to be a white hat returned a share of the lost ETH. According to reports, about 322 ETH was returned by the hacker, while a whopping 517 ETH remains exploited. This dramatic twist led to quite a bit of news in the world of cryptocurrency. While the hacker did return a significant amount of the ETH, he also kept about 62 ETH worth $187,000, claiming that it was “bug bounty.” Even after returning that big of an amount of ETH, there is still a pretty huge share of the coins currently lost and under the possession f other hackers.
The news for the vulnerability in the Multichain world started just a week before. The vulnerability was due to the tokens related to MATIC, AVAX, WETH, OMT, PERI. About $1.43 million was exploited. Multichain announced that the vulnerability was duly reported, and there has been a solution for that as well. But the publicity gathered after such a vulnerability acted as a catalyst for other hackers. These attackers ended up swopping into the Multichain bases and ended up stealing more than 3 million dollars in total. While this critical issue and vulnerability still exist, Multichain has minimized further losses by draining more than 44 million dollars from different chain bridges to protect them from theft.
News also circulated when one hacker from the group of people who stole the coins claimed that he was a white-hat hacker and offered to return the hefty amount. This person has been in contact with a Multichain user and the company. The user had lost about $960,000 from the attack. This hacker communicated with the user as he negotiated to offer about 80% of the entire money while keeping a huge finder’s fee.
White Hat Multichain Hacker Makes a Generous Gesture
Going by the tweet made on 20th January by Tal Be’ery, the co-founder of the wallet ZenGo, the hacker claimed that he has been saving all of the Multichain users from being hacked by the bots. He compared his act of hacking the users as a defense strategy used to save the users from trouble. The money returned to the users was made in 4 different transactions. The hacker deposited about 269 ETH on 20th January with two different transactions. The money was directly returned to users from which it was stolen in the first place. However, the hacker still kept some amount of ETH since it was “bug bounty.” The user, relieved with the act of the hacker, responded with a thank you, informing him that the money was received.
The person also returned another 50 ETH overnight via two different transactions while keeping a bounty of 12ETH. Multichain, formerly known as Anyswap, aims to become the Web3 router that people go for. This platform currently supports more than 30 chains, including ETH, BTC, LTC, AVAX, FTM, and LUNA. Several measures are being taken in the Multichain world to ensure that such issues don’t occur in the future. However, issues like this in Multichain can lead to a loss of trust amongst the Multichain users, and as a result, people might stop using the platform altogether. Hence, such vulnerabilities need to be dealt with properly.