Curve Finance Exploiter Returns Funds to Alchemix Finance

The Curve Finance exploiter returns funds to Alchemix Finance

The Curve Finance exploiter has returned a total of 4,820 alETH to Alchemix Finance, according to on-chain data. The funds were returned in three batches, with the first test transaction being 1 alETH, followed by a batch of 1,000 alETH worth $1.7 million. Shortly after, another batch of 3,819 alETH worth $6.7 million was returned.

Hacker’s message and motivation

In a transaction message, the Curve Finance exploiter stated their motivation for returning the funds. They clarified that they were not returning the funds because they could be found, but rather to avoid ruining the project. The hacker claimed to be smarter than everyone else and emphasized that the refunded amount was not a significant sum for them.

About Alchemix Finance and Curve pools

Alchemix Finance is a loan-based DeFi protocol that utilizes Curve pools. Currently, the price of one alETH, or Alchemix ETH, is approximately $1,755. Curve Finance had previously asked the hacker to return the funds and received a response requesting confirmation of an address.

Previous exploit and attempts to reduce liquidation risk

Curve Finance had experienced a $24 million exploit on July 30 due to a smart contract bug. Since then, the protocol’s founder, Michael Egorov, has traded over 106 million CRV tokens worth $42 million in over-the-counter deals in an effort to minimize liquidation risk.