Sturdy Finance Offers Unprecedented $100,000 Bounty to Hacker Following Security Breach

Sturdy Finance Offers Unprecedented $100,000 Bounty to Hacker Following Security Breach

Altcoin news, News

In a surprising twist, decentralized finance (DeFi) platform Sturdy Finance has taken an unconventional approach to recover from a recent security breach. The platform has decided to offer a substantial $100,000 bounty to the hacker responsible for exploiting their protocol.

We’ve sent the following message to the Sturdy hacker on-chain:

“To the exploiter: as we have seen with recent hacks, exploits are not as easy to escape from as they used to be. That said, we are willing to offer you $100k as a bounty, and will not pursue you further if you send…

— Sam Forman (@pgpsam) June 12, 2023

On June 12, Sturdy Finance experienced a significant loss of approximately $800,000 in digital assets due to an attack. The exploit took advantage of vulnerabilities within the platform, specifically through a reentrancy attack, with a faulty price oracle identified as the root cause by security firms.

Less than 24 hours after the breach, Sam Forman, the founder of Sturdy Finance, made an unexpected announcement on Twitter. He revealed the platform’s decision to offer a bounty to the hacker responsible, stating that if the remaining funds were returned to a specified wallet, Sturdy Finance would drop any further pursuit of the issue.

Forman’s offer even extended to engaging in a discussion with the perpetrator, signaling a willingness to resolve the situation amicably. This strategy takes inspiration from Euler Finance, which successfully negotiated the return of 90% of stolen funds after one of the largest DeFi hacks this year by employing a similar tactic.

However, it is worth noting that not all projects have been as fortunate. Jimbos Protocol, for example, offered a public bounty of $800,000 after falling victim to an exploit, but the attacker chose to disregard the offer.

Sturdy Finance’s unique approach showcases their determination to address security breaches within the DeFi landscape in a different manner. By directly engaging with the hacker and providing an enticing incentive, the platform aims to avoid a prolonged and potentially costly pursuit.

As the DeFi space continues to evolve and combat the growing threat of attacks, it becomes evident that traditional methods alone may not be sufficient. Sturdy Finance’s decision highlights the need for innovative measures and demonstrates their willingness to take unconventional steps in the face of adversity.

The hacker’s response to this unexpected olive branch remains uncertain, but Sturdy Finance has made it clear that they are prepared to explore alternative avenues to resolve the situation.

Compiled by Coinbold

FTX, hack, Sturdy Finance