In an unexpected turn of events, a Munchables developer persuaded a hacker to return a massive theft of Ethereum, valued at $62.8 million, without any ransom. The cybercriminal, identified as a former developer for the Ethereum-based NFT game Munchables, had initially absconded with more than 17,400 Ethereum from the game’s platform on March 26th. The return of the stolen assets concluded an intense eight-hour negotiation.
Collaborative Effort to Reclaim Stolen Ethereum
Blockchain analysts from PeckShield and ZachXBT joined forces with Munchables to trace the stolen cryptocurrency. Their efforts pinpointed a North Korean coder with the pseudonym Werewolves0943, believed to be connected to the theft. On the morning following the hack, the Munchables team engaged in discussions with the suspected hacker, successfully arranging for the full restitution of the funds.
Ensuring Secure Distribution of Recovered Assets
In a formal announcement, Munchables confirmed that the developer handed over all necessary private keys to secure the return of the stolen Ethereum. The keys included the main stash of over $62 million, an additional sum of 73 WETH, and another owner key possessing the remainder of the funds. Ethereum Layer-2 Blast network’s creator, known as Pacman, expressed gratitude for ZachXBT’s assistance and conveyed that the developer ultimately chose to surrender the funds with no demands.
As Munchables operates on the Blast blockchain network, Pacman has committed to collaborating with the Munchables developers to reallocate the recouped Ethereum. In light of the hack, affected users are urged to heed information solely from verified channels to avert any fraudulent repayment schemes.
This incident follows a separate hack where approximately $24,000 was siphoned from DeFi aggregator ParaSwap’s account. ParaSwap not only retrieved the funds but also started compensating the affected users, addressing the issue with the assistance of ethical hackers and deactivating the compromised smart contract.