Hacker who breached Euler Finance has returned stolen funds to user

An unknown user sent the hacker who breached the DeFi protocol Euler Finance a transaction requesting the return of the lost funds.

?For anyone who gets affected by the #Euler hack, watch this:

Someone(0x2a) sends a message to the hacker saying his life-saving (78 $ETH) is in @eulerfinance.

The hacker then sends him 100 $ETH.
If 0x2a is being honest, it made extra 22 $ETH back.https://t.co/esoHOofXM0 pic.twitter.com/n6iEa4PKpB

— 0xScope (? . ?) (@ScopeProtocol) March 16, 2023

He wrote that his “life-saving” savings of 78 ETH (~$128,500 at the time of writing) were on the platform when the incident occurred.

After some time the hacker sent 100 ETH (~$164,775) to the user’s wallet.

On March 13, the attacker took advantage of the exploit in the instant-loan mechanism of Euler Finance, posting unsecured collateral. As a result, the hacker managed to liquidate the debt and withdraw assets from the platform worth $196 million.

Later, the protocol team disabled the vulnerable EToken module. The project notified U.S. and U.K. law enforcement about the breach. 

Euler Finance also reached out to analytics firms Chainalysis and TRM Labs for help in the investigation. According to Sherlock, the vulnerability went undetected for eight months. 

Later, Euler proposed to the hacker to return 90% of the stolen funds within 24 hours. Otherwise, the protocol will offer a $1 million bounty for any information that leads to the capture of the offender.

As reported in February 2023, DeFi projects lost $21.4 million due to seven hacks. According to DeFi Llama, the largest loss was the exploitation of the Platypus Finance protocol for $8.5 million.