Allbridge recently encountered a cryptocurrency exploit and was able to return the majority of its funds after the offender seemingly accepted a bounty for a white hat bringing back the funds. The exploit itself was noticed by blockchain security firms including Pechshield and CertiK, who concluded the attacker had taken around $550,000 from Allbridge, in the form of both Binance USD (BUSD) and Tether (USDT).
The offender initially sent back 1,500 BNB, successfully returning around $465,000. Allbridge converted the BNB to BUSD in order to use it as compensation. BNB Chain was able to confirm the presence of at least one attacker through on-chain analysis, and also recognized AvengersDAO for its part in the fund recovery.
Allbridge originally announced the incident, stating they were actively working with a variety of organizations to recover the stolen funds. The organization also asked the second exploiter to come forward and discuss returns. Pechshield and CertiK estimated the attackers took close to $573,000 from Allbridge, and BNB Chain has yet to report any further updates.
The event shines a light on existing security weaknesses within the crypto system, as well as the need for clear communication between multichain projects and those projects linking to them, reinforcing the need for all projects to be vigilant and aware of potential threats. Blockchain security firms must also be able to remain on top of any new threats, to ensure the safety of their users.
Cryptocurrency exploit is a serious security threat, as seen by the recent example of Allbridge encountering an attacker and subsequently losing a substantial amount of funds. The attack highlighted the importance of both on-chain analysis and security firms to keep watch and proof of vigilance from all cryptoprojects. Allbridge was able to successfully return the majority of its funds, with the offender taking a bounty and escaping any legal repercussions upon returning the funds. The incident serves as a reminder for projects to remain secure and aware of any possible weaknesses in the security system, as well as the need for effective communication and cooperation between projects.
Selena Ramirez
- 2023-04-04
Allbridge Recovers Majority of Funds After Cryptocurrency Exploit
Allbridge recently encountered an attack that saw them lose $550,000 in the form of BUSD and USDT. Security firms CertiK and Peershield estimated the attacker had taken close to $573,000. Blockchain security firms must be able to stay vigilant and on top of new threats.
