Crypto Heist! 7M Vanishes in Hong Kong Fog! 😱

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Decentralized perpetuals exchange KiloEx, or as I like to call them, ‘Those Daredevils of Decentralization,’ have reported a most unpleasant incident to the Hong Kong constabulary – a vanishing act involving $7.4 million. Yes, you read that right. Millions! And now, they’re concocting a compensation plan for the bereaved users. One can only imagine the bureaucratic ballet this will entail. 🩰

In a missive posted on that modern-day town square, X (formerly known as that bird-themed platform), the platform declared they are waltzing with the police’s Criminal Division and Cybercrime Unit, as well as that esteemed blockchain security firm, SlowMist, to unravel this Gordian knot and unmask the culprit. One hopes they have better luck than Pontius Pilate. 🙏

The fateful April 15th breach, it seems, sprouted from a ‘price oracle access control vulnerability.’ Sounds dreadfully technical, doesn’t it? Apparently, some cunning rogue manipulated ETH/USD pricing, pocketing millions in a single, audacious transaction. The exploit was sniffed out by Cyvers Alerts, who noticed suspicious cross-chain shenanigans across Base, Taiko, and BNB Chain. Alert indeed! 🚨

According to those number-crunching wizards at PeckShield, the losses were scattered across Base ($3.3 million), opBNB ($3.1 million), and BSC ($1 million). A veritable confetti of misfortune! 🎉

KiloEx assures us that the vulnerability has been patched up, like a poorly darned sock, and that no open positions will face the guillotine of liquidation. Instead, all positions will be closed based on price snapshots taken before the calamity. Profits and losses from the exploit period? Vanished into thin air, like smoke in a Moscow winter. 💨

The exchange, in a move worthy of a Dostoyevsky novel, has initiated correspondence with the hacker, sending four on-chain messages offering 90% of the loot in exchange for a cessation of hostilities. Alas, silence. The funds remain unmoved, like a stubborn bureaucrat. KiloEx has also plastered the hacker’s wallet addresses across the digital realm and coordinated with centralized and decentralized platforms to slam the door shut. A noble effort, if perhaps a tad belated. 🚪

Tentative compensation plan 

To calm the ruffled feathers of their users, KiloEx proclaims they are rattling the coffers for compensation and will gradually resurrect the Vault function after the plan is finalized. One can only hope it’s not as labyrinthine as the Moscow housing regulations. 🏘️

“We are currently raising funds and working on a compensation plan to ensure KiloEx users can quickly restore liquidity,” the exchange declared. “The Vault function will gradually be restored after the compensation plan is finalized. Users’ funds in the Vault remain secure.” A statement as reassuring as a doctor’s diagnosis. 🩺

The team vehemently denies any internal skulduggery, claiming that SlowMist and law enforcement have access to their innermost digital secrets. Transparency! Or perhaps, a well-orchestrated illusion? 🤔

A full report will be unveiled when the investigation permits. Trading is expected to resume soon. The protocol, backed by YZi Labs, is dangling bounties for user-submitted clues that might aid in the hunt. A modern-day treasure hunt, with digital doubloons! 💰

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2025-04-17 18:04