Euler Finance Hacker returns all refundable funds

Euler Finance Hacker returns all refundable funds

The exploiter behind Euler Finance's multi-million dollar attack has returned all refundable funds, the decentralized finance (DeFi) lending protocol announced on Tuesday.

In a Twitter post, the project's development team disclosedthat the hacker returned all funds after successful negotiations.

Euler Finance receives stolen funds

Recall that on March 13, Euler lost around $200 million in a flash loan attack. The incident was recorded as the biggest loss for crypto in the first quarter of 2023.

AsCryptoPotato reportedThe exploiter stole $8.7 million worth of decentralized stablecoin DAI, $34 million worth of Coin (USDC), $19 million worth of Bitcoin (WBTC), and $136 million worth of Ether (ETH). The attacker borrowed the assets via a flash loan and removed them from the protocol.

About two days after the exploit, Euler Finance publicly offered the attacker to keep 10% of the stolen assets if he agreed to return the remaining funds. The minutes eventually revealed that the Euler Foundation offered a $1 million reward to anyone with information about the hacker if the funds were not returned.

However, the exploiter proceeded to mix the stolen crypto into Tornado Cash,ignorethe application. The attacker sent 100 ETH to an intermediary address in ten transactions, making it more difficult for Euler to track IRL.

Interestingly, on-chain data showed an interaction between the wallet linked to Euler's attack and another linked to the $625 million hack of Axie Infinity's Ronin Network. The lattersentan encrypted message to Euler's exploiters with instructions on how to decrypt the message using the private key of the address to which it was sent.

In response to the message, the Euler exploiter announced that he intended to return the stolen funds to the protocol's team and said that they would communicate soon.

Euler's $1 million offer is off

Four days after the perpetrators were revealedhas come backover $104 million in ETH to Euler Finance. The first transaction contained 51,000 ETH, while the second was worth 7,737 ETH.

Over time, the hacker apologized for the incident and sent around $77 million in two transactions involving 31,000 ETH and 30 million DAI.

Having transferred the remaining $18 million in ETH and $13 million in DAI, Euler has decided to cancel the $1 million reward campaign that was originally launched.

Because the exploiter did the right thing and returned the funds, and the $1 million reward campaign launched by the Euler Foundation no longer accepts new information.

All details will follow tomorrow.

— Euler Labs (@eulerfinance) April 3, 2023

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