Solana

2024

when

A core developer of Cypher, a decentralized exchange on the Solana blockchain, admitted to misusing over $300 million designated for compensating hack victims. The developer, known as “Hoak,” publicly confessed on the social platform X to gambling away the funds. 
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 My statement on the situation. TLDR: I fucked up way too hard, way too many times. I don’t expect anyone to forgive me or let this go unpunished.<a href="https://t.co/CNq8UFKCkc" target="_blank">https://t.co/CNq8UFKCkc</a>— hoak (@hoakbuilds) <a href="https://twitter.com/hoakbuilds/status/1790434490877129007?ref_src=twsrc%5Etfw" target="_blank" rel="noopener">May 14, 2024</a>
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This confession follows accusations from another core contributor, “Cobra,” who exposed the misappropriation, which had reportedly been occurring for several months. 
The incident follows a significant breach in August 2023, when hackers exploited a vulnerability in Cypher’s protocol,<a href="https://www.cryptotimes.io/2023/08/08/cypher-protocol-freezes-smart-contract-after-1m-exploit/"> draining $1 million</a> in cryptocurrencies. The attack exploited weaknesses in smart contracts, enabling the removal of bad loans and resulting in significant financial losses for the platform. 
The developer Cobra<a href="https://x.com/barrett_io/status/1790079978123534664" target="_blank"> expressed </a>disappointment, highlighting Hoak’s betrayal. Hoak had remained with the project to aid in its recovery post-hack. The statement underscored the breach of trust and integrity within the development team, raising concerns about the security measures in place. 
In response to the fraud, Cobra announced intentions to pursue legal actions against Hoak, seeking accountability for the financial misconduct. This internal fraud underscores the challenges facing blockchain security and the critical need for robust oversight within cryptocurrency platforms. 
<blockquote class="wp-block-quote is-layout-flow wp-block-quote-is-layout-flow"> 
 Also read: <a href="https://www.cryptotimes.io/2024/05/15/north-korean-crypto-hacks-total-3-6-billion-un-reports/">North Korean Crypto Hacks Total $3.6 Billion, UN Reports</a>. 
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Solana Developer Admits to Misusing Cypher Funds

The Crypto Times

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