Yield protocol Shezmu recovers stolen funds after paying 20% bounty

BlockBeats reported that on September 21, the yield protocol Shezmu recovered nearly $5 million in stolen funds within hours after successfully negotiating with hackers. This morning, Chaofan Shou, co-founder of blockchain analysis company Fuzzland, warned that one of Shezmu's repositories had been hacked. Although it is uncertain whether the incident was deliberate or a real hacker attack, Shou confirmed that about $4.9 million worth of cryptocurrency was stolen in the process.

Shezmu subsequently confirmed that one of its ShezmuUSD (ShezUSD) stablecoin repositories had been hacked, and proactively urged the hacker to return the funds in exchange for a bounty without any legal consequences. The hacker responded to the request by asking for a 20% bounty instead of the initial 10%, and Shezmu agreed to pay the bounty.

Within hours, Shezmu began recovering the stolen funds, but at the time of writing, not all funds have been restored, and the Shezmu team urged investors to limit interaction with the protocol’s Oasis vault until further updates are available.