White Hat Hacker Credited $97,000, Returns Stolen Money to DeFi Lending Site Tender.fi

The hacker who exploited the decentralized finance lending site Tender.fi has returned the stolen assets in exchange for an Ether prize of $97,000.

Tender.fi, a platform for decentralized finance (DeFi) financing, has been compromised by an ethical hacker. The stolen cash was quickly returned in exchange for a prize of 6% of the exploit’s value.

In an intriguing turn of events, the perpetrator of the Tender.fi breach has returned the stolen amount of $1.59 million. The stolen cash was returned for a reward or incentive from the site.

Tender.fi reported on Twitter that the exploiter had paid off the debt. The white-hat hacker received 62.16 ETH, or around $97,000. A reward equal to 6% of the exploit’s value.

Tender.fi enables decentralized borrowing and lending of crypto assets. Nevertheless, because of the complexity of these platforms, they are susceptible to various security threats, such as misconfigured oracles.

On March 7, the mentioned protocol saw an “unusual number of borrows,” prompting the platform to suspend all lending activities. A security expert noted on social media the circumstance in which a hacker borrowed $1.59 million worth of assets from the protocol by depositing 1 GMX token, which was worth $71 at the time of writing.

“It seems that your oracle was improperly setup. Call me to resolve this,” the hacker stated in an on-chain message.

Recently, Decentralized Finance or DeFi attacks have grown increasingly prevalent, raising worries about the safety and security of user payments. DeFi is a financial system built on the blockchain that offers an alternative to conventional financing.

DeFi enables consumers to access financial services such as lending, borrowing, trading, and investing without depending on middlemen such as banks and brokers.

DeFi has several advantages, including enhanced accessibility, transparency, and autonomy, yet it is susceptible to attacks and vulnerabilities. Due to the decentralized structure of DeFi, no central authority or entity is responsible for regulating or protecting the system.

Also Read: South Korea Experienced Approximately $4 Billion In Unreported Crypto Transactions In 2022