Harmony Protocol’s Horizon Bridge was hacked for about $100 million, Harmony Protocol’s Twitter account introduced. Metaverse software program firm, AAG Ventures, took the key brunt. Out of the approx. $100 mln misplaced within the hack, AAG misplaced $84 mln.
Now, AAG has introduced that they have been in a position to freeze $78 mln out of the 84 million that they misplaced.
The Harmony Hack Explained
The Harmony protocol introduced that they’ve stopped the Horizon bridge to make sure the protection of the remaining funds. They revealed that they began working with authorities and forensics specialists to retrieve the quantity.
Harmony revealed the exploiter’s Ethereum address and disclosed that the trustless BTC bridge was not impacted. In a separate Tweet, they known as for a joint effort to construct extra trustless bridges which would offer greater safety.
Mudit Gupta, a safety researcher and CISO of Polygon, revealed that the Horizon Bridge was utilizing a multi-signature mechanism to achieve consensus. Out of the 5 signatures, if any 2 agreed on a transaction, it will undergo. The exploiter apparently compromised 2 signatures and was in a position to drain $100M.
Mudit additionally revealed how the exploit could don’t have anything to do with any vulnerability within the Horizon Bridge or another blockchain security-related concern. In reality, the hack could also be within the servers that have been working the 2 wallets liable for verifying any transaction.
The hack is similar to how the Ronin Bridge was hacked for $600 mln.
How AAG Recovered Its Losses
AAG had partnered with Lossless DeFi and was utilizing their mitigation software to guard its funds. As a end result, Looseless was in a position to freeze about $78 mln of the $84 mln that was misplaced by AAG within the hack.
In a stroke of luck, Lossless had launched their protocol on Harmony solely a day in the past and have been in a position to intervene within the occasion of the hack.
Tools like Lossless will turn out to be extra necessary because the variety of exploits continues to stand up.
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