Tapioca, a Singapore-based blockchain protocol, has offered a $1 million bounty to the hacker who stole $4.7 million from its treasury in a “social engineering” attack. The hacker, who goes by the name of “0xKiwi,” exploited a vulnerability in Tapioca’s governance system to gain control of the protocol’s multi-sig wallet. Once they had control of the wallet, they transferred the funds to various cryptocurrency exchanges.
Tapioca has not yet released any details about how the hacker was able to exploit the vulnerability. However, the company has said that it is working to fix the issue and prevent future attacks.
In a statement, Tapioca said that it is “committed to making amends” to the victims of the attack. The company has also said that it is “grateful” for the support of the community.
The $1 million bounty is the largest ever offered for a cryptocurrency hack. It is also the latest in a series of high-profile attacks on blockchain protocols. In recent months, hackers have stolen millions of dollars from projects such as Poly Network and Ronin Network.
The offer of a bounty is a controversial move. Some people believe that it is unethical to reward a criminal for their actions. Others argue that the bounty is a necessary step to deter future attacks.
Tapioca has said that it believes the bounty is the “best way” to recover the stolen funds. The company has also said that it hopes the bounty will “encourage” other hackers to come forward and return stolen funds.
It is unclear whether the hacker will accept the bounty. However, Tapioca has said that it is “confident” that they will.
The hack of Tapioca is a major blow to the blockchain industry. It is a reminder that even the most sophisticated protocols are vulnerable to attack. The incident is also a call to action for developers to be more vigilant about security.
Tapioca is a decentralized finance (DeFi) protocol that allows users to earn interest on their crypto assets. The protocol is built on the Ethereum blockchain. Tapioca was launched in 2021 and has since grown to become one of the most popular DeFi protocols.
The hack of Tapioca has had a significant impact on the price of the protocol’s native token, TAP. The price of TAP has fallen by more than 50% since the attack.
