[NEWS] KyberSwap hacking incident: hackers demand complete control, including transfer of management rights

It has been revealed that the hacker in the hacking incident in which approximately $48 million worth of crypto assets (virtual currencies) was stolen from DEX (decentralized exchange) aggregation platform KyberSwap has demanded the transfer of management rights to the company.

KyberNetwork, which develops the protocol, reported the hacking damage on the official X (formerly Twitter) account on the 23rd and asked users to withdraw their funds immediately.

On the 30th of last month, the hacker disclosed the conditions for redemption of the stolen funds. This demand was made in response to KyberSwap's proposal to return 90% of the funds hacked and offer the remaining 10% as a reward.

Conditions presented include doubling employee salaries

The hacker made the following demands as a settlement proposal in a message encoded on-chain.

Complete termination of management control of the Kyber Network

• Full authority over the KyberDAO
• Access to confidential documents regarding Kyber's structure, revenue, operations, finances, expenses, salaries, investors, assets, and liabilities
• Destruction of the company's on-chain and off-chain assets, including its website, social credentials, intellectual property, stock, and tokens

He said that if all these demands are met, the settlement will proceed.

He also called himself the "Kyber Director" and said that he would buy out the company's management at a fair valuation in exchange for fair compensation and look forward to their continued success. In addition, he said that under his control, he would double the salaries of employees, and provide 12 months of severance pay, benefits, and job placement assistance to employees who choose to leave the company.

The hacker told Kyber Network token holders and investors that "under my control, Kyber will be completely reborn. It will no longer be the seventh most popular DEX, but a completely new cryptocurrency project."

He went on to promise that he would refund 50% of losses incurred by liquidity providers for recent market making activities, saying, "I know this is probably less than you want, but it's more than you deserve."

The hacker has set a deadline of December 10th for settlement. If Kyber refuses this demand, he will not refund any money. The hacker claims that he sees potential in Kyber's protocol and will use the funds obtained through the hack for the purpose of the company's growth and development.

The settlement deadline is approaching, but Kyber's management has not yet responded.

Reference:On-Chain Message
Image: Shutterstock

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