Mixin wrote in an on-chain message, flagged by Blockchain security firm PeckShield, that it was offering a $20M “bug bounty reward” for the return of its users’ funds.
Mixin Network, which was hacked last Sunday, has announced that it is offering a $20M “bug bounty” reward for the return of stolen customer funds.
Mixin goes after hacker
As earlier reported, Hong Kong-based cross-chain service Mixin Network suffered an attack which caused losses of about $200M last Sunday, September 23.
Following the attack, the protocol suspended deposits and withdrawals as Google and Blockchain security firm, SlowMist assisted in investigations.
The protocol has now shared a new update with its community on Wednesday. It said that the asset tally work has been completed, and the situation was more optimistic than initially feared. The update also noted that the loss was not as substantial as earlier anticipated.
On X, the team said: “We have completed most of the asset tally work, and the situation is much more optimistic than expected. The losses are not as significant as estimated. Again, we remind everyone to avoid making transactions, market making, etc., on Mixin Network, for now, to prevent unnecessary losses.”
Mixin wrote in an on-chain message, flagged by Blockchain security firm PeckShield, that it was offering a $20M “bug bounty reward” for the return of its users’ funds.
“Most of our platform assets were users’, and we hope you can refund them. You can keep $20 million of the assets as a BUG Bounty Reward for the BUG. Contact us via bug@mixin.one for the reward details,” Mixin wrote.
Read more: FBI notifies exchanges of funds linked to North Korean Hackers, flags six wallets
Users assets are safe
Following the attack, the founder of Mixin Feng Xiaodong told an AMA livestream that the platform was committed to securing customers’ funds. He noted that just half of users’ funds were secured but the other compromised half was being investigated and a hopeful path to recovery was being charted.
Xiaodong said that the team was considering issuing “bond tokens” for users to claim, with plans for a future buyback.
The attack on Mixin comes as the protocol faces criticism of its centralised nature. The attacks exploited the single point of failure to gain access and syphon funds from the protocol.
The CEO of Bitcoin mining pool BTC.TOP, Zhuoer Jiang, wrote on September 25 that Bitcoin stored in the Mixin protocol “should have never been stolen in the first place.” In contrast to Mixin’s hot wallets, Jiang claimed that Mixin’s Bitcoin would generally have been “kept in cold storage” and remained untouched by the cloud server attack.
OpenSea and Nansen have also been subject of recent attacks at one of their vendors. While the hacks have not been linked, it remains to be said that the exploit of Mixin could be among the largest DeFi exploit to date.
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