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Prisma Finance Hacker Moves Funds to Tornado Cash – Crypto News

Published

2 years ago

March 29, 2024

Dripp

The recent movement of $2.6 million to TornadoCash by the Prisma Finance hacker has sent shockwaves through the DeFi community. This significant transfer comes amidst ongoing developments following the exploit that rocked Prisma Finance. Prisma Finance was hit by an exploit that targeted individual vaults, prompting an emergency response from the platform. Blockchain security firm PeckShield flagged suspicious on-chain activity on March 28 with various investigations showing the total assets drained hit $11.6 million about 3,257 ETH.

As a precautionary measure, Prisma Protocol was paused by the emergency multisig, ensuring the safety of remaining funds. Despite the attack, Prisma Finance took swift action to reassure users that stablecoins like mkUSD and ULTRA remained overcollateralized and secure. However, the incident resulted in a substantial decrease in the total value locked in the protocol, dropping from approximately $220 million to $115 million.

Claim of “Whitehat Rescue” and Recent Transactions

The individual behind the exploit at Prisma Finance has purportedly claimed it was a “whitehat rescue” and expressed intentions to return the funds. Messages on the blockchain have surfaced, providing some support for this claim. However, skepticism remains prevalent, with many questioning the legitimacy of the purported rescue.

Recent blockchain activity as depicted by PeckSheildAlert reveals further insight into the hacker’s actions. In the aftermath of the exploit, the hacker responsible for the $11.6 million DeFi protocol breach made a series of transactions. The hacker first transferred a significant sum of 757.69 ETH valued at $2,702,091.47 to an initial address and a subsequent transaction of 740 ETH valued at $2,638,996.56 was transferred to an address associated with Tornado Cash.

Notably, This series of transactions has added complexity to the ongoing investigation and raised questions about the true motives behind the exploit.

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Current Status and Analysis

As of the latest update, Prisma Finance’s live price stands at $0.267253, with a 24-hour trading volume of $8.47M USD. However, the platform has experienced a significant decline of -24.20% in the last 24 hours, reflecting the impact of the recent events on investor sentiment.

The hacker’s movements have cast a shadow of uncertainty over Prisma Finance and its community. The decrease in total value locked following the exploit, coupled with the ongoing investigation and the hacker’s subsequent transactions, has heightened concerns regarding the platform’s security and stability.

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