Not too long ago, Live Bitcoin News reported that Akropolis – a crypto lending service – was the victim of a crypto hack that saw more than $2 million in Dai cryptocurrency tokens stolen practically overnight.
Akropolis: If You Work With Us, We’ll Work With You
Akropolis has not gone to the police or law authorities yet to discuss the present case. Instead, it’s taking a different approach, proposing a partnership with the hacker and a small financial reward for his (or her) willingness to cooperate and work with the company.
The trading and lending platform says that it is willing to hand over $200,000 in the form of what’s knonwn as a “bug bounty” to the hacker and also says that it will leave legal authorities out of the mix granted they return the funds and work with executives to ensure the issue is fixed in a timely manner.
Bug bounties are often given to white hat figures in the hacking space. They are people who use their technical expertise for good to assist companies in pointing out specific technical glitches and issues with their sites or networks. They point the issues out, suggest ways of fixing them, and are then rewarded for their time and efforts.
Akropolis is approaching the hacker in a similar way. While money was stolen and the maneuver was allegedly done with malicious intent behind it, the cryptocurrency trading platform believes that in many ways, the hacker has helped them get better. After all, the person behind the attack did expose vulnerabilities which need to be fixed. Granted they are willing to step forward and do the right thing, they can still walk away with a substantial reward and avoid any penalties in the immediate future.
The company has issued the following statement:
We would like to propose that you return the funds of our community members within 48 hours and in return, we will offer a $200,000 bug bounty. We will take measures to protect your identity as required. If you decide not to cooperate, we will pursue criminal action and contact law enforcement… The exploitation leads to several pool tokens minted without being backed by valuable assets.
The hacker initially gained control of the lending platform through what’s known as a flash loan attack. They often occur on decentralized platforms, and given Akropolis specializes in crypto lending, which is widely thought of as a decentralized service, the company appears to be right up the hacker’s alley.
Let’s Do Things the Nice Way
The person initiating the attack often poses as a simple lending customer. They then typically exploit security issues with the company to get around set loan protocols and walk away with the money that they have borrowed, never having to pay it back.
At the time of writing, the stolen money has not been moved, and is still being held in a blacklisted wallet that the hacker controls.
Source: Read Full Article