By
Godfrey Benjamin
February 7th, 2024
The decentralized lending platform was exploited in a March 13 flash loan attack, causing it to lose $197 million worth of crypto assets.
In the late hours of Monday, the Euler Finance hacker finally returned the outstanding sum of $31 million, bringing the recovery efforts to a conclusive end.
The decentralized lending platform was exploited in a March 13 flash loan attack, causing it to lose $197 million worth of crypto assets. And shortly after the hack, Euler Finance offered the hacker a 10% fee to return the stolen funds. The project also proposed another $1 million bounty if the hacker decides against returning the fund and threatened to employ every legal means necessary to fish out whoever was behind the attack.
Now, however, Euler’s efforts have finally paid off as the hacker has now returned the last bit of the funds on Monday.
At approximately 6:55 pm EST on April 3, the attacker sent back $31 million over three separate transactions. The latest restitution means that the total amount returned so far is now more than $177 million, which represents 90% of the stolen funds. Therefore, taking the 10% offer of the project into consideration, the exploiter is now done, per the Euler Finance team. The official statement reads:
“Following successful negotiations, all of the recoverable funds taken from the Euler protocol on March 13th have now been successfully returned by the exploiter.”
The return of these funds marks a rare instance of positive resolution in the DeFi space, where large-scale hacks have become increasingly common.
Euler Finance Sets a Precedent for Other DeFi Projects
Without a doubt, flash loan attacks have somewhat become synonymous with the decentralized finance (DeFi) space. And for what it’s worth, it is not exactly common to see recovery efforts reach reasonable conclusions as seen in Euler’s case.
However, the way that Euler has conducted itself throughout the situation is impressive. And given that all funds have been recovered, albeit in an unusual manner, it is expected that other projects will emulate Euler going forward. At least, so that they can achieve quick resolution of similar issues that may or may not arise in the future.
