Curve Finance Recovers over 70% of Hacked Funds: Report

<p>The hackers who exploited Curve Finance have returned 73%
of the tokens stolen from the decentralized finance (DeFi) platform. So far,
the amount of tokens returned is estimated at USD $53 million, according
to a report by a blockchain data analytics platform.</p><p>About a week ago, Curve
Finance, the DeFi platform for stablecoins, was exploited through a reentrancy bug on its smart contracts programming language, Vyper. The exploit led to price
volatility in CRV, the native token of the DeFi platform. Additionally, it
prompted the cryptocurrency exchange <a href="https://www.financemagnates.com/tag/upbit/" target="_blank">Upbit</a> to suspend deposits and withdrawals of the
token.</p><p>"A number of
stablepools (alETH/msETH/pETH) which are using Vyper 0.2.15 have been exploited
as a result of a malfunctioning reentrancy lock," Curve Finance said.
"We are assessing the situation and will update the community as things
develop."</p><p>White Hat Hackers?</p><p>However, according to a post by PeckShield on X social
media platform, ethical hackers are beginning to return the spoils. All the
tokens, worth USD $22 million, stolen from the lending protocol AlchemixFi have
reportedly been returned. This amount comprises 7,258 Ether and 4,821 Alchemix
Ether.</p><p>On top of that, a trading
bot has returned 90% of the tokens worth USD $11.5 million stolen from Jpegd.
Similarly, tokens worth USD $6 million and USD $13 million, which were stolen
from the synthetic protocol Metronome and Curve trading pool, respectively,
have been recovered.</p><p>Curve Finance’s Bug
Bounty</p><p>On August 3, the exploited protocols, Curve, Metronome,
and Alchemix, announced a bug bounty to incentivize hackers to return the
stolen funds. In the <a href="https://etherscan.io/tx/0xc45e47f6e7d3e74763032e2fb991fa9a003d8ed55c13c93c6a5368ff322d7742" target="_blank" rel="follow">statement</a> on Etherscan, the platforms said: "We are
offering a 10% bounty of any stolen funds, which are yours to keep if you
return the remaining 90%."</p><p><a href="https://www.financemagnates.com/cryptocurrency/twitter-goes-deeper-into-trading-with-cashtags/" target="_blank" rel="follow">Finance
Magnates</a> reported that <a href="https://www.financemagnates.com/cryptocurrency/upbit-stops-withdrawal-as-curve-finance-loses-millions-of-dollars-to-exploit/" target="_blank" rel="follow">Curve
was exploited</a> through a
type of attack known as Reentrancy. This vulnerability allows codes from
malicious third parties to be executed within a smart contract. Thus, hackers
are able to make repeated calls to a blockchain platform and siphon funds.</p>

This article was written by Jared Kirui at www.financemagnates.com.