Published on september 22, 2024, 12:30 am
Image source: Fox News
```json [ { "title": "TLDR", "summary": "Shezmu negotiated with a hacker to recover nearly $5 million in stolen cryptocurrency, showcasing success in using the yield protocol. Meanwhile, WazirX faced challenges recovering $230 million in stolen funds and legal confrontations from customers and other exchanges." } ] ```
Shezmu successfully recovered nearly $5 million in stolen cryptocurrencies after engaging in negotiations with a hacker, ultimately agreeing to a higher bounty reward. The event showcases a significant milestone in the realm of cryptocurrency as Shezmu utilized the yield protocol to swiftly regain the pilfered funds.
The incident unfolded when Chaofan Shou, co-founder of blockchain analytics firm Fuzzland, raised an alarm regarding a compromised storage vault under Shezmu’s ownership. Approximately $4.9 million worth of digital assets were reported stolen, although it remained unclear whether the breach resulted from a rug pull or an authentic hack.
Subsequently, Shezmu confirmed that one of its stablecoin vaults had fallen victim to exploitation and took proactive measures by proposing a bounty reward to the hacker for returning the funds without facing any legal consequences. The negotiation entailed Shezmu demanding 90% of the stolen assets back within 24 hours; however, the hacker counteroffered with a request for a 20% bounty instead of the original 10%, which Shezmu ultimately accepted.
In response to their negotiations, Shezmu witnessed swift progress as they began receiving returned Dai (DAI) tokens from the hacker shortly after. Despite this positive development, not all funds had been reclaimed at writing time, prompting investors to exercise caution when interacting with Shezmu’s Oasis vault until further updates are provided.
Conversely, Indian cryptocurrency exchange WazirX faced contrasting challenges in recovering its $230 million in stolen funds following a hack that transpired 60 days earlier. WazirX refuted claims of being hacked and attributed the loss to its custodian, Liminal. However, Liminal disproved these allegations by presenting findings from an independent audit conducted by Grant Thornton that absolved them of any involvement in the cyberattack.
Moreover, WazirX encountered legal confrontations from disgruntled customers seeking retribution for their losses. One notable challenger was fellow Indian exchange CoinSwitch that initiated legal action against WazirX aiming to recover 2% of its own funds amounting to around $6.2 million.
These recent events highlight both successes and setbacks within the cryptocurrency sector while underscoring the importance of security measures and swift responses when faced with breaches or theft incidents.
Original article posted by Fox News
