Crypto Hackers Drain $80M From DeFi Projects; Massive Bounty Offered For Return

Crypto projects Rari Capital and Fei Protocol have said that they have incurred an $80 million hack. 

According to the Chinese crypto blogger Colin Wu, multiple pools related to these platforms have been attacked, citing data provided by BlockSec. 

Breaking: BlockSec found that multiple pools related to @RariCapital @feiprotocol were attacked, and lost more than 80M US dollars. The root cause is due to a typical reentrancy vulnerability.
https://t.co/XZ9ihkCeW0 https://t.co/bEjGEijaps

— Wu Blockchain (@WuBlockchain) April 30, 2022

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An unverified Twitter account for Fei Protocol said developers are looking into the impact of the attack, and offered the hackers a significant sum of money for the return of the funds.

We are aware of an exploit on various Rari Fuse pools. We have identified the root cause and paused all borrowing to mitigate further damage.

To the exploiter, please accept a $10m bounty and no questions asked if you return the remaining user funds.

— Fei Protocol (@feiprotocol) April 30, 2022

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Following the attack, they suspended all borrowing operations to prevent further stealing of funds. 

As per the tweet, they have offered the hacker to keep $10 million from the stolen crypto as a bounty for returning the rest of the funds that belong to their users.

However, it appears the hackers have already started moving crypto to Tornado Cash, a mixing protocol which makes transactions on a blockchain difficult to track by investigators.

According to a review of activity on Etherscan, close to 5,400 Ethereum ETH/USD tokens have been transferred so far, worth about $15 million based on recent prices.