In a surprising update, the hacker who recently drained $7.4 million from KiloEx has returned $1.4 million in USDT. Blockchain security firm PeckShield confirmed the transaction on April 18, noting the funds were sent back to KiloEx’s address.
🔍 Background: What Happened to KiloEx?
KiloEx, a decentralized perpetuals trading platform backed by YZi Labs, suffered a cross-chain hack on April 15. The attack targeted multiple networks, including Base, opBNB, and BNB Chain.
The exploit was first detected by Cyvers Alerts, who linked it to a wallet funded through Tornado Cash. At the core of the breach was a price oracle vulnerability. This allowed the hacker to inflate ETH/USD values and manipulate trades.
According to PeckShield, the losses broke down as follows:
- Base: $3.3 million
- opBNB: $3.1 million
- BNB Chain (BSC): $1 million
⏳ Hacker Given Ultimatum by KiloEx
Following the attack, KiloEx issued a 72-hour deadline to the hacker. They offered a whitehat bounty—10% of the stolen funds—in exchange for returning the rest.
“We are actively monitoring your addresses,” the KiloEx team warned. They also made it clear they were ready to freeze the assets.
🕵️♀️ Legal Action and Investigation
When the hacker failed to comply, KiloEx filed a police report in Hong Kong on April 17. They also teamed up with SlowMist, a cybersecurity firm, to support the investigation.
KiloEx says it has already shared important data with authorities. A full incident report will follow as the investigation continues.
🔄 Funds Returned: A Step Toward Resolution?
Although the hacker returned only $1.4 million, the move hints at possible negotiations. Still, this falls short of the platform’s goal to recover 90% of the stolen funds. So far, KiloEx hasn’t confirmed if further discussions are underway.
⚙️ What’s Next for KiloEx?
KiloEx is currently working on:
- Restoring trading operations
- Creating a user compensation plan
- Settling open positions using pre-attack prices
Importantly, users will not face forced liquidations, and all positions will be handled fairly.
🧠 Final Thoughts
The partial return of funds offers a glimmer of hope for KiloEx and its users. However, the road to full recovery remains uncertain. With investigations ongoing and platform operations still paused, all eyes are on how KiloEx will navigate the next phase.