Prisma Finance, a decentralized finance (DeFi) platform, is locked in a tug-of-war with a self-proclaimed “white hat” hacker who exploited a vulnerability in their system last week. While the hacker claims to want to return the $11.6 million stolen, they’re making their return conditional on Prisma’s public apology and team identification.
According to a post by Prisma core contributor “Frank” on April 1st, there’s still around $540,000 in user funds at risk. These funds belong to 14 accounts that haven’t revoked access to the compromised smart contract. The largest single account holds $484,380, highlighting the potential losses for some users.
Prisma’s priority is to ensure user safety and prevent further losses. They’re urging users to revoke access to the affected smart contract. Additionally, a new proposal aims to create a reserve fund while recovery efforts continue. Once user funds are secured, Prisma plans to restart the protocol.
The hacker, claiming to be a white hat acting ethically, is demanding an online press conference from Prisma. During this conference, they want the entire Prisma team to reveal their identities and apologize for security lapses. Additionally, they want Prisma to acknowledge their “good intentions” and publicly state they bear no responsibility for the exploit.
Prisma remains skeptical of the hacker’s true motives. They point out the lack of any returned funds as a sign of bad faith. The back-and-forth continues on the blockchain, with both sides questioning the other’s sincerity.
The exploit significantly impacted Prisma. They’ve seen a drastic drop in their “total value locked” (TVL) – a measure of DeFi protocol activity – from $220 million to $87 million, according to DefiLlama data.
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Disclaimer: The information provided in this article is for informational purposes only and should not be construed as financial or investment advice. Cryptocurrency investments are subject to market risks, and individuals should seek professional advice before making any investment decisions.
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