The world was in shock after the cyberattack on Euler Labs. The attack cost a staggering $196 million ether to the victims, surprising the cryptocurrency industry. Yet, a large amount of digital assets were able to be retrieved because of the hard effort and commitment of security research companies and the platform itself.
But the Journey to Recovery was not Easy
However, Euler Labs’ road to recovery was far from over. The victims felt anxious and frustrated because the hacker who carried out the attack still had a sizable sum of amount under his control.
Amazingly, out of the 96,000 ETH that he had previously taken, the hacker has now returned another 51,000. After returning 3,000 ETH earlier this month. Although it’s unclear what triggered this abrupt change of heart, many people are happy to see that justice is moving in the right direction.
Yet, in exchange for returning the stolen money, they promised the hacker a 10% bounty and even issued a warning that failure to comply within 24 hours could result in imprisonment. These actions most likely contributed to the recent returns. Overall this development offers hope.
Flash Loans are Becoming a Tool of Hacking
Despite debuting as a lifesaver Flash Loans now become a possible nightmare for users. The cryptocurrency world is currently experiencing difficulties and instability as hackers have begun to use this feature to their advantage.
With the help of flash loans, borrowers could obtain sizable sums of money without putting up any security. However, great power comes with a big responsibility. Unfortunately, platforms are not taking this role seriously because Flash loans are used by scammers to manipulate markets, take advantage of weaknesses, and create havoc. They take out large loans and pay them off quickly, leaving no traces behind.