Transit Swap Hacker Returns 70% of Stolen Funds

Cross-chain DEX aggregator Transit Swap suffered an exploit of around $23 million after they exploited a bug in the code on Sunday, and now the hacker has returned 70% of the funds.

📢📢📢Updates about TransitFinance
1/5 We are here to update the latest news about TransitFinance Hacking Event. With the joint efforts of all parties, the hacker has returned about 70% of the stolen assets to the following two addresses:
— Transit Swap | Transit Buy | NFT (@TransitFinance) October 2, 2022

Transit Swap collaborated with security firms such as SlowMist, Bitrace, PeckShield, and TokenPocket to gather relevant information about the hacker and they currently possess the hacker’s IP address, email address, and associated on-chain addresses.

Initially, SlowMist reported a theft of $1.07 million BUSD on Twitter. In a later blog post, it revised the total amount of stolen money to US$23 million.

1/4 Transit Swap hacker was front-run by an arbitrage bot when he transferred BUSD assets from the user on the BSC chain, block height 21816885, and made a profit of 1.07 million $BUSD
— SlowMist (@SlowMist_Team) October 2, 2022

70% of the funds that were stolen have been returned by the hacker to two addresses, totaling about $16.2 million.

According to BscScan and EtherScan, these assets were distributed as 3,180 Ethereum ($4.2 million), 1,500 Binance-Peg ETH ($2 million), and 50,000 BNB ($14.2 million).

In order to ensure the safety of the assets, the team will transfer the funds to a new address on both Ethereum and BSC.

All parties’ project teams and security firms are still following the hacking issue and corresponding with the hacker via email and on-chain methods.

“The team will continue to work hard to recover more assets” Transit Swap tweeted.

The project team is working fast to compile precise information about the users whose assets were stolen and to develop a return strategy.

The Transit Swap team will continue to recover the remaining assets of hackers’ stolen assets and return them to the lost users.

If the hacker does not return the remaining 30%, users have requested that Transit Swap themselves will reimburse for the remaining amount that was stolen.

Transit Swap stated “The team will continue to update the progress and release announcements. We appreciate your patience and thank you for your understanding.”

This is the second high-profile hack this month after crypto firm Wintermute suffered a DeFi hack worth $160 Million. CEO Evgeny Gaevoy revealed that the attack was related to wallets used for DeFi proprietary trading operations, which are completely different and independent from the firm’s CeFi and OTC operations.