KiloEx, a relatively new DEX, promised a hacker a lucrative 10% white hat bounty of $750,000. In exchange, they asked the hacker to refund 90% of the funds taken from their platform. Yet the offer, listed on April 15, was announced even after the platform shut down its DEX for trading due to the exploit. KiloEx had previously cautioned the hacker against their malicious activities, threatening them with irreparable death if they do not accept the offer.
In a tweet, KiloEx announced that it would treat the incident as a white hat exploit if the hacker returned the stolen funds. In response, the DeFi platform has expressed its willingness to freeze the stolen funds. They are working directly with law enforcement, cybersecurity agencies, and exchanges to monitor the hacker’s movements.
KiloEx's Response to the Exploit
The attack happened on April 14 and was due to a price oracle exploit. As a reaction, KiloEx shut down its DEX to stop any more losses from happening and took steps to recover the stolen assets. The platform then made an open appeal to the hacker, inviting them to negotiate the return of funds.
KiloEx published the wallet addresses associated with the hackers. They are keeping a close eye on these wallets along with other organizations. The robot company would really like to hear from the hacker. They require them to email them directly or send them an on-chain message if they want to accept the offer.
KiloEx, recognizing the procedural deficiencies in its case, issued a notice of intent to dismiss the action. If the hacker returns the funding, they will publicly recognize the incident as resolved.
A Race Against Time
KiloEx has given the hacker a very professional ultimatum, highlighting what legal action may ensue should he refuse their offer. The hacker has until September 3rd to return the stolen data, after which time the company will take action against the perpetrator.
Your identity and activities will be exposed to relevant authorities. We will pursue legal action relentlessly. The choice is yours. Act now to avoid irreversible consequences. - KiloEx
KiloEx is prepared to bring law enforcement into the equation should the hacker decline the hacker bounty offer. They too are poised to proceed with their investigation alongside cyber-security compatriots.
Legal and Investigative Actions
KiloEx has already started working with law enforcement, cybersecurity agencies, and exchanges to collect information on the hacker’s efforts. KiloEx isn’t kidding around with this mess. This unprecedented collaborative effort is a testament to their deep commitment to pursuing each and every avenue available to reclaim the stolen funds.
Save KiloEx now KiloEx is poised to go big. Should the hacker refuse the bounty offer, they will engage law enforcement and continue pursuing the hacker with their cybersecurity companions.
