Alchemix Recovers Stolen Funds

Alchemix, a lending platform, has announced the return of all funds misappropriated by the Curve Finance hacker.

The July 30th attack resulted in the theft of over $61 million worth of cryptocurrencies, including $13.6 million from Alchemix’s alETH-ETH pool.

The recovery of funds began following the hacker’s acceptance of a bug bounty offer.

Curve, Metronome, and Alchemix jointly announced an initiative to recover stolen funds on August 3, offering a 10% bounty of the seized funds as a reward and imploring the exploit’s perpetrators to return the remaining 90%, which would bring the total bounty to nearly $7 million.

In less than twenty-four hours after the offer, the original attacker began returning stolen funds, sending back 4,820.55 Alchemix ETH (alETH) to the Alchemix Finance team on August 4 and concluding the transaction on August 5.

The assailant posted a message that appears to have been directed at the Alchemix and Curve teams, claiming that they were willing to return the funds but only because they didn’t want to “ruin” the respective projects.

The on-chain message reads, “I’m refunding not because you can find me, but because I don’t want to ruin your project.” Nonfungible token protocol JPEG’s has also been returned, confirming that the perpetrator has returned 5,495 Ether.

The protocol will not pursue legal action against the perpetrators as part of the reward offer.

” There will be no further investigations or legal proceedings against the entity. The JPEG’d team characterized this incident as a white-hat rescue.