Kronos Research Offers Hacker a Deal
After losing $26 million in a recent hack, trading firm Kronos Research is attempting to negotiate with the hacker. The company has proposed dropping all legal charges if the hacker returns 90% of the stolen funds, allowing them to keep approximately $2.5 million.
The Kronos Research Hack
Kronos made their offer directly to the hacker through an Ethereum transaction message. They acknowledged the complexity of the situation and stated that they are prepared to negotiate a resolution. The offer will only remain valid until a specific date and time.
Kronos stated, “We propose a 10% bounty of any funds stolen, with the remaining 90% to be returned, in which case we will not pursue this further.”
Since reporting the hack, Kronos has resumed trading and withdrawals. They assured their followers that the losses were not significant and could be covered internally.
The Beauty of Bounties
Hacks and thefts in the crypto industry are not uncommon. In recent incidents, exchanges like Poloniex and Kyber Network have offered similar deals to hackers. These deals involve letting the hackers keep a portion of their loot in exchange for returning the rest. The goal is to recover as much of the stolen funds as possible.
Hot Take: Negotiating with Hackers – A Risky Strategy
While negotiating with hackers may seem like a reasonable approach for recovering stolen funds, it comes with its own risks. Offering bounties can incentivize hackers to continue targeting companies in hopes of receiving rewards. Additionally, there is no guarantee that hackers will honor agreements or return all of the stolen funds. Nevertheless, for some companies, negotiating may be seen as a viable option to potentially recover a portion of their losses.
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