Euler Finance May Launch $1M Reward Following $200M Hack

Sahana Kiran
Defi
Source – Pixabay

Hacks and attacks have been increasingly common in the cryptocurrency industry. The DeFi space, in particular, has succumbed to several exploits over the last couple of months. Earlier this week, prominent DeFi lending platform, Euler Finance was hit with a $200 million flash loan attack. Now, the firm was seeking 90% of the funds from the hacker.

The Ethereum-based noncustodial DeFi lending platform reached out to the hacker via an on-chain message. The firm wrote,

“Following up on our message from yesterday. If 90% of the funds are not returned within 24 hours, tomorrow we will launch a $1M reward for information that leads to your arrest and the return of all funds.”

Source

Return of 90% of the funds would mean that the hacker is expected to send $176.4 million out of the $196 million. This would let the attacker hold on to the $19.6 million. In addition to involving blockchain intelligence platforms Chainalysis, TRM Labs, and the larger Ethereum community, Euler Labs claimed it was already collaborating with law authorities in the United States and the Great Kingdom to find the hacker.

This wasn’t all. Euler Finance sent out another message which read,

“We understand that you are responsible for this morning’s attack on the Euler platform. We are writing to see whether you would be open to speaking with us about any potential next steps.”

In addition to involving blockchain intelligence platforms Chainalysis, TRM Labs, and the larger Ethereum community, Euler Labs claimed it was already collaborating with law authorities in the United States and the United Kingdom to find the hacker.

The crypto community believes DeFi-hacker won’t take the deal

The community suggested that Euler Finance’s deal wasn’t good enough to let the hacker give up his loot. One Twitter user wrote,

“If I was the hacker I’d simply say “to anyone who manages to track me down, I will give you $2 million not to tell Euler”

Another user noted how the hacker had won the “bidding war.”

“Yeh he has 200 Million they have 2 Million. He wins in a bidding war.”

While it is uncertain about what the hacker is expected to do next, some speculate that he/she/they would want to have a clean slate.