Hacker Returns Stolen Funds
In a recent turn of events, a hacker who absconded with $5 million worth of unclaimed ZK tokens has returned the stolen amount after complying with a safe harbor provision. The Zksync Association confirmed that the individual behind the breach, which involved a compromised admin account, has cooperated and has been allowed to retain 10% of the total funds as a reward for their prompt restitution. This development effectively concluded the association’s investigation into the incident.
The Zksync Association’s announcement followed shortly after their public proposal encouraging the hacker to return the tokens, stating that if they did so within a designated timeframe, filtered transactions would be exempt.
This proposal was made on April 21, and the hacker acted within 72 hours of that statement, successfully transferring the funds to the appropriate Zksync Era and Ethereum addresses. In a communication, the Zksync team committed to making the resolution public while recognizing the hacker’s cooperation. However, they warned that failure to comply would lead to law enforcement involvement.
Earlier reports from Bitcoin.com News indicated that the breach was attributed solely to the compromised admin account, with assurances from the Zksync security team that the hack did not affect any users directly. Despite these reassurances, the price of the ZK token dropped by 13% to approximately $0.04151 before it began to stabilize, trading around $0.54 at the time of this report.
Currently, the Zksync Association is in a position to determine the next steps regarding the returned assets, which are now held by their Security Council. A governance decision will dictate the ultimate fate of these funds, while a detailed investigation report is in preparation for future publication.
Malaysia’s Blockchain Initiatives
In a separate development in the realm of digital finance, Malaysia is accelerating its efforts to embrace blockchain technology. Recently, Prime Minister Anwar Ibrahim engaged in a strategic partnership with Binance founder Changpeng Zhao (CZ) to explore Malaysia’s role as a leading center for tokenization and digital finance in Southeast Asia. This meeting, touted as highly productive, highlighted Malaysia’s ambitions to enhance its digital economy while fostering collaboration among governmental bodies like the Securities Commission and Bank Negara Malaysia.
Anwar emphasized the government’s crucial role in driving blockchain integration into financial systems, advocating for proactive measures to facilitate innovation through the tokenization of financial instruments. Zhao also shared insights about the discussions via social media, signifying Malaysia’s growing prominence in the global blockchain dialogue.
This bilateral engagement reflects not only Malaysia’s national aspirations but also a broader commitment to collaborating with international stakeholders to establish a well-regulated and inclusive digital asset ecosystem. CZ’s recent travels include discussions about blockchain adoption with leaders from various countries, including partnerships aimed at boosting blockchain and cryptocurrency infrastructures in Kyrgyzstan and his advisory role to the Pakistan Crypto Council. Meanwhile, Binance is actively advising multiple governments on setting up strategic bitcoin reserves.
