Crypto lender Shezumu returns stolen funds through negotiations
Using a production protocol, the scheme recovered nearly $5 million in stolen funds within hours of successful negotiations with the hackers.
On September 21, Zhaofan Xu, co-founder of blockchain analytics firm Fuzeland, warned of the dangers of blockchain-owned storage. While it's unclear whether the incident was a carpetbagger or a genuine hack, Shu confirmed that an estimated $4.9 million worth of cryptocurrencies were stolen in the process.
Source: Chaofan Shou
Shezmu later confirmed that one of the ShezUSD stablecoin vaults had been used and actively urged the hacker to return the funds in exchange for a reward without any legal consequences.
Source: Shezumu
Shezumu demanded the return of 90% of the looted money within 24 hours via Onchen's message. The protocol involves law enforcement only if the hacker decides not to comply.
Shezmu hacker asked for 20% white hat bonus
The hacker responded by asking for a 20% reward instead of the original 10% discount, which Shizu agreed to.
Shezumu's team negotiates with the hacker for the return of stolen money. Source: Etherscan
Within hours, Shezumu started accepting the stolen DAI tokens in wallets. The hacker initially returned 282.18 Ether (ETH) to the protocol and then returned another 137 bundles of Ether (WETH).
Source: Shezumu
However, at the time of writing, not all funds have been recovered and Shezumu's team has urged investors to limit their exposure to the protocol's Oasis Vault.
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WazirX struggled to track down $235 million in stolen funds.
At the other end, 60 days after the hack of Indian crypto exchange Wazir X, it has made no progress in tracking down the $230 million that was stolen.
WazirX denies the hack and continues to blame the guard Liminal for losing his money. Denying this claim, Liminal announced on September 9 that it had undergone an independent audit by international professional services firm Grant Thornton.
The audit found that Liminal found no evidence of cyberattacks originating from Liminal's web applications or its back-end and front-end structures.
Source: CoinSwitch
More recently, WazirX has faced legal threats from its customers, the most prominent of which is another rival, Indian crypto exchange CoinSwitch. The company took legal action against Wazir to recover 2 percent of the estimated $6.2 million.
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