Hacker Steals $300,000 from Olympus DAO and Returns Funds

OlympusDAO was hacked by an attacker that was able to steal close to $300,000 from the BondFixedExpiryTeller. 30,437 OHM tokens were stolen from the smart contract earlier today. The information was released by the security firm PeckShield Inc. However, according to The Block, the attacker returned the funds after a deal with OlympusDAO. 

Hacker Steals Close to $300k from Olympus DAO

A new crypto protocol was hacked today morning when an attacker was able to steal 30,437 OHM tokens worth close to $300,000 earlier today. Wallter from Olympus DAO explained in a Discord post that there was an exploit with the OHM bond contract at Bond Protocol. 

He said about it:

“This morning, an exploit occurred through which the attacker was able to withdraw roughly 30K OHM ($300K) from the OHM bond contract at Bond Protocol. This bug was not found by 3 auditors, nor by our internal code review, nor reported via our Immunefi bug bounty.”

At the same time, Wallter explained that the total amount that was exploited was lower than the bug bounty. This is a very important thing for crypto projects that offer financial solutions to users.

“Our phased rollout put only a limited amount of funds at risk and as a result, the total amount exploited is lower than the bug bounty the attacker would have been able to claim through Immunefi,” he explained. 

It is worth taking into account that the hacker returned all the funds following a negotiated deal. Despite that, there is no official information on Twitter from Olympus DAO. Furthermore, there is also no public information about the details of the arrangement that they did with the attacker. 

A few weeks ago, we reported that Binance’s blockchain was hit by a $570 million hack. This was the largest attack that affected the Binance ecosystem. In the past Binance was also hacked by $40 million, a small amount compared to the most recent hack. 

The cryptocurrency ecosystem has been many times targeted by attackers that exploit different vulnerabilities from blockchain networks, decentralized finance applications, and protocols. This has affected the viability of several projects, creating large risks for the whole community. 

Despite the improved experience and standards offered by crypto companies and projects in recent years, hacks have not stopped. Therefore, there is still a long way to go before being able to have a more secure ecosystem for larger investors. Indeed, one of the things that would have to improve is the security of decentralized protocols. 

Over the last few years, there has been a growth of different DeFi protocols that offered new and innovative solutions to crypto users from all over the world. The industry has had billions of dollars blocked across multiple protocols and blockchains. Nevertheless, hacks and protocol exploits were some of the main threats to users that wanted to use these platforms. Finally, some of these projects were simply scams that tried to steal users’ funds (similar to Initial Coin Offerings in 2017 and 2018).