Binance Helps Narrow Down Two Suspects of Kyberswap Exploit

Binance Helps Narrow Down Two Suspects of Kyberswap Exploit
  • The Intel had been sent to the Kyber team as confirmed by CZ.
  • Kyberswap announced a bounty of 10% to the hacker.

Crypto exchange Binance has helped investigate a $265,000 breach on decentralized cryptocurrency exchange KyberSwap by narrowing down two suspects.

On September 1st, an attacker used a front-end flaw in Kyber Network to steal $265,000 from KyberSwap. Moreover, the exchange announced an award to the hacker, a 10% reward, or around $40,000, while investigations were ongoing.

Community Driven Efforts

At the same time, a separate investigation led Binance’s security team to identify two people they believe are behind the virtual heist’s planning and execution. The Intel had been sent to the Kyber team, as verified by Binance CEO Changpeng Zhao (CZ).

As Binance and law enforcement continue to close in on the hackers, they have started coordinating their respective operations. Furthermore, if Binance’s findings hold up, KyberSwap investors may be seeing a unique community-driven hack redemption.

Before the Kyber team could put an end to the assault, the perpetrators had made off with around $265,000 worth of cryptocurrencies. As opposed to other DeFi protocols that have been exploited in the last year, Kyber’s smart contracts did not include the flaw. The interface itself was where the faulty code was discovered.

Notably, KyberSwap hack is not the first rescue mission of this season for the exchange. Also, Binance aided the recovery of the stolen funds from Curve.Finance, one of the largest DeFi protocol. The team secured 83% from the $570k hack in early August. With these rescue mission, Binance is turning into the saviour of DeFi.

Despite doing these good deeds, Binance and CZ continue to be subjected to criticisms. Recently, CZ fought back against malicious speculation and unfounded claims that Binance was a Chinese “criminal entity” that “secretly [belongs] in the pocket of the Chinese government.”

CZ further added:

“The greatest challenge that Binance faces today is that we (and every other offshore exchange) have been designated a criminal entity in China. At the same time, our opposition in the west bends over backward to paint us as a ‘Chinese company.”

By stating this, CZ has made it clear that Binance has no legal standing in China and is not a culturally “Chinese company.”

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KyberSwap Hit by Frontend Exploit Losing Over $265,000

A devoted content writer having 3 years of crypto trading experience. Loves cooking and swimming. Stays up to date with the latest developments on blockchain technology.