Web3 social media platform Stars Arena has successfully recovered most of the cryptocurrency that was stolen during a security breach on October 7, with only the 10% reward going to the person responsible for the exploit.
In a Twitter post on October 11, Stars Arena announced that approximately 90% of the 266,000 Avalanche (AVAX) tokens, which were valued at around $3 million at the time of the theft, have been returned.
This was achieved through an agreement where Stars Arena offered a 27,610-AVAX reward, worth nearly $257,000, to the individual who exploited the system.
The reward also included compensation for the loss of 1,000 AVAX tokens, worth over $9,000, that the exploiter seemingly lost while using a bridge.
In another post, Stars Arena mentioned that they have created a new smart contract. Before they put the refunded money back and start using it, they’re making sure the new contract is thoroughly checked for security issues.
On October 7, Stars Arena first informed its community about a significant security problem. This problem was caused by their smart contract, which resulted in a loss of funds.
In a later post, Stars Arena stated that they secured funds to cover the gap caused by the security issue and hired a development team to conduct a comprehensive security check. However, the exact details of how the security problem occurred have not been disclosed by the team yet.