Blockchain News

KyberSwap Hacker Demands Full Authority Over the Company

The demands include "complete executive control" over the Kyber company, temporary authority over KyberDAO, and ownership of all related documents and assets.

The hacker responsible for the $47 million KyberSwap exploit has revealed their audacious conditions for returning the stolen funds, placing the demand for "complete executive control" over the Kyber company.

Hacker's Demands Unveiled

On November 30, the KyberSwap hacker conveyed their demands through an on-chain message directed at all relevant parties. The hacker's conditions are nothing short of bold, encompassing:

  • Control Over Kyber Company: The hacker seeks complete executive control over the Kyber company.
  • KyberDAO Authority: Temporary full authority and ownership of the governance mechanism, KyberDAO.
  • Ownership of Documents and Assets: The demand includes all documents related to the company and possession of all Kyber company assets.

Furthermore, as part of the new regime, the hacker has committed to doubling the salaries of employees and offering them a 12-month severance package with full benefits.

Sweetening the Deal

The hacker teasingly stated that token holders and investors would benefit from the transition as their tokens would "no longer be worthless." Kyber, under their management, would transform into a completely new cryptocurrency project, moving beyond its current status as the 7th most popular decentralized exchange (DEX).

For liquidity providers, the hacker proposed rebates amounting to 50% of the losses incurred during recent market-making activities. The hacker's tone remained defiant, noting that while the offer might be less than expected, it surpassed what the providers deserved.

The hacker set a deadline of December 10 for the Kyber team to meet these demands, cautioning that the "treaty falls through" if unmet. Additionally, any contact by agents regarding the hacker's trades would invalidate the treaty.

KyberSwap's Recovery Efforts

The recent development follows KyberSwap's initial proposal of a bounty deal, offering the hacker 90% of the funds across all exploits, with 10% retained by the hacker. The threat of legal action loomed when the hacker didn't comply immediately, prompting KyberSwap to involve law enforcement and cybersecurity experts.

KyberSwap's team managed to recover $4.67 million from the exploit on November 26, extracting funds from operators of front-running bots. 

The total funds exploited amounted to approximately $54.7 million, leading to a significant setback for the cryptocurrency platform.

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