Author alleges presence of an inside party in $160 million Wintermute hack  | The Financial Express

Author alleges presence of an inside party in $160 million Wintermute hack 

According to Cointelegraph, the publication recently reported that a hacker made the discovery of a bug in a Wintermute smart contract which enabled them to swipe over 70 different tokens including $61.4 million in USD Coin, $29.5 million in Tether and 671 Wrapped Bitcoin

Author alleges presence of an inside party in $160 million Wintermute hack 
In a recent Twitter update, Wintermute expressed his disappointment on the incident

A new cryptocurrency conspiracy theory has been revealed with regard to the $160 million hack on algorithmic market maker Wintermute, as reported by Cointelegraph.

According to Cointelegraph, the publication recently reported that a hacker made the discovery of a bug in a Wintermute smart contract which enabled them to swipe over 70 different tokens including $61.4 million in USD Coin (USDC), $29.5 million in Tether (USDT) and 671 Wrapped Bitcoin (wBTC), worth around $13 million at the time. Through an analysis of the hack posted through Medium recently, the author Librehash made the point on the nature of Wintermute’s smart contracts and how they were interacted with and exploited, which suggested that the hack was done by an internal party. The author of the analysis piece, known as James Edwards, is reportedly not a cybersecurity researcher and analyst. 

“This, in itself, is an issue in terms of transparency on behalf of the project. One would expect any smart contract responsible for the management of user/customer funds that’s been deployed onto a blockchain to be publicly verified to allow the general public an opportunity to examine and audit the unflattened Solidity code,” Edwards wrote.

On the basis of information by Cointelegraph, Edwards stated another analysis through manually decompiling the smart contract code by himself, and alleged that the code has got no linkage with what has been attributed as the cause behind the hack. Edwards highlighted that Etherscan transaction history allegedly showed that Wintermute made a transfer of more than $13 million worth of Tether USD (USDT) from two separate exchanges, to address a compromised smart contract. 

Moreover, Cointelegraph noted that in a recent update on the hack through Twitter, Wintermute expressed his disappointment on the incident, and that the rest of the business didn’t face any consequences which will continue with the servicing of its partners.

(With insights from Cointelegraph)

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