Hackers Storing Stolen Cryptocurrency

In the long run, rather than seeking short-term fixes, the industry must band together and significantly improve its cybersecurity game. In this regard, the authors of the $14.5M Team Finance attack recently announced that hackers would retain 10% of the stolen money as compensation. Mango is also selling a DeFi network that recently raised over $110M. It revealed that its backers were working to reach an agreement. The hacker would be entitled to $47M as a reward for revealing the exploit.

According to the chief technology officer of the decentralized money market Fringe Finance, it seems unhealthy and unsustainable for hackers to give away some of the money they earn to find loopholes. Broken projects have no choice but to use this method. This is more effective than catching criminals and collecting money for law enforcement agencies.

Letting hackers keep funds in this manner, according to the CEO of Naoris Protocol, a distributed cybersecurity ecosystem, undermines the entire decentralized financial system and promotes distrustful behavior. Tim Bos, founder, and president of ShareRing thinks it is not good. According to him, it’s like paying criminals to steal from people. It allows the hacker to commit serious crimes and receive money without consequence.

What Needs to Change

It’s no secret that much of the Web3 ecosystem relies on yesterday’s Web2 architecture, resulting in a highly centralized system. According to Carvalho, this is the elephant in the room that most Web3 platforms refuse to address. He believes smart contract execution and publication standards will not fundamentally change or improve unless they solve these pressing issues.