Less than 48 hours after stealing approximately $42 million in cryptocurrencies from the decentralized trading platform GMX, the hacker responsible for the attack has begun to return the stolen funds. According to an update from the on-chain sleuth PeckShield, the GMX exploiter has returned at least $40.5 million in crypto assets, including ether (ETH) and Legacy Frax Dollar (FRAX).
The Root Cause of the Exploit
Recall that the hacker exploited GMX’s smart contracts to steal the funds on July 9. A postmortem report from the firm confirmed that it was a re-entrancy attack. The exploiter took advantage of a smart contract function that could not prevent re-entrancy issues within the same smart contract. This design flaw on GMX V1 enabled the criminal to place multiple calls within one function and caused the contract to calculate the wrong balance.
They were able to artificially inflate the price of GLP, which is the liquidity provider token for GMX. After the breach, they stole several assets, including Wrapped bitcoin (WBTC), FRAX, and DAI. They eventually bridged the funds from Arbitrum to Ethereum and converted all, except FRAX, to 11,700 ETH.
While the hacker made these moves, GMX dropped an on-chain message, offering a 10% white hat bounty in exchange for the stolen funds. The proposal would last for 48 hours, with a promise of no legal consequences.
Hacker Returns Stolen Funds
Earlier today, the hacker responded to GMX’s 10% bounty offering, with a message that read: “Ok, funds will be returned later.” They first returned $10.49 million FRAX to the GMX Security Committee Multisig address. The remaining $32 million, which were swapped for ETH earlier, have also been returned in batches.
Notably, the $32 million ETH was worth $35 million today following the spike in ether’s price. The hacker took the $3 million profit and returned the original amount. Therefore, they took a bounty of roughly $4.5 million and returned a total of $40.5 million.
Meanwhile, GMX has confirmed that the incident did not affect its V2 protocol, as the chain does not have the vulnerability that enabled the attack on V1. The team has lifted the minting caps it placed on liquidity tokens for GMX V2 on Arbitrum and Avalanche.
GMX, the native token of the GMX platform, has also recovered from a sudden dip caused by the incident. Data from CoinMarketCap shows the asset is up over 13% today.
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The cryptocurrency market has been moving in a wave-like fashion with continuous crests and troughs. The market has been seeing spurts of growth in the price, but it has not been consistent. Popular cryptocurrencies like Bitcoin [BTC], Ethereum [ETH] and Binance Coin [BNB] have been trying to recover from the recent market crash.
At the time of writing, Bitcoin was trading at $32,598 with a 24-hour trading volume of $20.6 billion. The king coin reported a 3% dip in price in the past 24 hours and has been trying to recover from the same. The second-largest cryptocurrency, Ethereum was trading at $1,947 with a 5% decline in price in the past day.
Ethereum [ETH] one-hour price chart on Binance
The above chart of Ethereum shows the price has been moving within a descending channel formation. The price has been forming lower highs at $2,390, $2,309, and $2,262. The support has been found to be at $1,938, at the time of writing. The price has been trying to move upwards, however, the selling pressure in the market has not decreased.
This was evidenced by the Relative Strength Index or RSI which has been trying to recover from the oversold zone. The RSI marker was at 33, which was closer to the oversold zone. This meant that the selling pressure in the market was still high and the price may continue moving sideways.
Additionally, the Awesome Oscillator indicator suggested that the market momentum had reached equilibrium. This meant that the selling and buying pressures were evening each other out. This could also mean that the price may not see any significant rise or fall in the near-term.
The short-term price chart of Ethereum was indicating that the price was trying to consolidate. The price may continue to remain between $2,262 and $1,938, however, a trend breakout could lead to a price swing.
Source: https://ambcrypto.com/ethereum-may-move-sideways-as-selling-pressure-remains-high
The cryptocurrency market has been moving in a wave-like fashion with continuous crests and troughs. The market has been seeing spurts of growth in the price, but it has not been consistent. Popular cryptocurrencies like Bitcoin [BTC], Ethereum [ETH] and Binance Coin [BNB] have been trying to recover from the recent market crash. At the […]
The post Ethereum may move sideways as selling pressure remains high appeared first on AMBCrypto.
The cryptocurrency market has been moving in a wave-like fashion with continuous crests and troughs. The market has been seeing spurts of growth in the price, but it has not been consistent. Popular cryptocurrencies like Bitcoin [BTC], Ethereum [ETH] and Binance Coin [BNB] have been trying to recover from the recent market crash.
At the time of writing, Bitcoin was trading at $32,598 with a 24-hour trading volume of $20.6 billion. The king coin reported a 3% dip in price in the past 24 hours and has been trying to recover from the same. The second-largest cryptocurrency, Ethereum was trading at $1,947 with a 5% decline in price in the past day.
Ethereum [ETH] one-hour price chart on Binance
The above chart of Ethereum shows the price has been moving within a descending channel formation. The price has been forming lower highs at $2,390, $2,309, and $2,262. The support has been found to be at $1,938, at the time of writing. The price has been trying to move upwards, however, the selling pressure in the market has not decreased.
This was evidenced by the Relative Strength Index or RSI which has been trying to recover from the oversold zone. The RSI marker was at 33, which was closer to the oversold zone. This meant that the selling pressure in the market was still high and the price may continue moving sideways.
Additionally, the Awesome Oscillator indicator suggested that the market momentum had reached equilibrium. This meant that the selling and buying pressures were evening each other out. This could also mean that the price may not see any significant rise or fall in the near-term.
The short-term price chart of Ethereum was indicating that the price was trying to consolidate. The price may continue to remain between $2,262 and $1,938, however, a trend breakout could lead to a price swing.
Source: https://ambcrypto.com/ethereum-may-move-sideways-as-selling-pressure-remains-high
The cryptocurrency market has been on a roller coaster ride ever since the crash on 19 May. The unpredictable market has been seeing spurts of growth and decline, however, the price has not been able to maintain a steady position. Popular cryptocurrencies like Bitcoin [BTC], Ethereum [ETH] and Binance Coin [BNB] have been trying to […]
The post Ethereum may breach $2,400 in the next 24 hours appeared first on AMBCrypto.
The cryptocurrency market has been on a roller coaster ride ever since the crash on 19 May. The unpredictable market has been seeing spurts of growth and decline, however, the price has not been able to maintain a steady position. Popular cryptocurrencies like Bitcoin [BTC], Ethereum [ETH] and Binance Coin [BNB] have been trying to recover from the recent market crash.
At the time of writing, Ethereum was trading at $2,375 with a 24-hour trading volume of $20.6 billion. The second-largest cryptocurrency has been seeing a 6% dip in price in the past 24 hours. The price has been trying to recover from the recent fall, however, the selling pressure in the market has not reduced.
Ethereum [ETH] one-hour price chart on Binance
The above chart of Ethereum showed that the price has been moving within a descending channel formation. The price has been forming lower highs at $2,390, $2,309, and $2,262. The support has been found to be at $1,938, at the time of writing. The price has been trying to move upwards, however, the selling pressure in the market has not decreased.
This was evidenced by the Relative Strength Index or RSI which has been trying to recover from the oversold zone. The RSI marker was at 33, which was closer to the oversold zone. This meant that the selling pressure in the market was still high and the price may continue moving sideways.
Additionally, the Awesome Oscillator indicator suggested that the market momentum had reached equilibrium. This meant that the selling and buying pressures were evening each other out. This could also mean that the price may not see any significant rise or fall in the near-term.
The short-term price chart of Ethereum was indicating that the price was trying to consolidate. The price may continue to remain between $2,262 and $1,938, however, a trend breakout could lead to a price swing.
Source: https://ambcrypto.com/ethereum-may-breach-2400-in-the-next-24-hours
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