DeFi Project Allbridge Recovers Most of Stolen $570K

Allbridge was exploited on Sunday after an attacker manipulated its BUSD/USDT pool.

Kid standing on a treasure in the middle of a gray valley.
  • Allbridge was exploited on Sunday after an attacker manipulated its BUSD/USDT pool.
  • The attacker has returned the majority of the stolen funds and kept some of it as a white hacker reward.
  • Allbridge said that another address related to the attack has yet to return the funds.

The decentralized finance (DeFi) ecosystem is one of the most promising in terms of crypto adoption. However, it still suffers from hackers attacking vulnerable protocols and stealing huge sums of money.

The latest example of such an attack is DeFi cross-chain Allbridge, which was hacked for $570,000 on Sunday. However, two days later, Allbridge made an unexpected announcement.

Allbridge Reclaims Majority of Stolen Funds

Allbridge went to Twitter on Tuesday to announce positive news: the team has managed to recover the majority of stolen funds.

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Allbridge said that the hacker, who attacked the protocol on Sunday and managed to steal $570,000 in BUSD and USDT by manipulating the pool swap price, has returned $465,000 to the protocol. The attacker kept the remaining $105,000 as a white hacker reward.

However, Allbridge noted that there was another address involved in the hack that has yet to return any of the stolen funds. The team has sent an encoded message to the address asking it to do so.

“We are working with law enforcement and CEXs to investigate the exploit. However, we will treat this hack as a white hat and offer a 10% bounty for returning the funds to our admin address within the next 48 hours. Allbridge team.”

On the Flipside

  • It’s unclear whether the two addresses Allbridge refers to are controlled by the same person.

Why You Should Care

Attacks on DeFi projects have become all too common. Users should always do their due diligence before deciding what to invest in and on what platforms. 

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Read more about why the Euler hacker has apologized for the attack:
Euler Hacker Apologizes for $200M Attack, Returns Millions to Protocol

Read more about zkSync Era’s network downtime:
zkSync Era Fails to Produce Blocks for 4 Hours but TVL Keeps Climbing

This article is for information purposes only and should not be considered trading or investment advice. Nothing herein shall be construed as financial, legal, or tax advice. Trading forex, cryptocurrencies, and CFDs pose a considerable risk of loss.

Author
Arturas Skur

Arturas Skur is a cryptocurrency news reporter at DailyCoin who covers Web 3.0 domains, DeFi, and Ethereum Layer-2s. With over five years of experience in journalism and public relations, Arturas brings his critical thinking and analytical abilities to deliver insightful news stories. In his free time, he enjoys hiking, playing with his dog, and reading.