Transit Swap, a multi-chain decentralized exchange (DEX) aggregator platform, announced via Twitter social media that it lost $21 million after a hacker exploited an internal bug in its swap contract.

Following the incident, Transit Swap issued a statement of apology to users, saying that efforts are being made to recover the stolen funds. “After a self-assessment by the TransitFinance team, it was confirmed that the incident was caused by a hacker attack due to a bug in the code. We are deeply sorry,” the DeFi platform stated.

The DEX aggregator said it is working with cybersecurity specialists like SlowMist, PeckShield, Bitrace, and TokenPocket’s security and technical teams to track down the hacker and recover the funds.

Transit Swap said a bug in the code allowed a hacker to get away with an estimated $21 million. PeckShield, a blockchain security company, gave a further explanation that the attack could have occurred due to a compatibility issue or improper reliance on the exchange contract.

Transit Swap further revealed that while they were able to obtain the hacker’s IP, email address, and associated addresses in the chain, they encouraged the hacker to get in touch to return the funds. “We now have a lot of valid information such as the hacker’s IP, email address, and associated addresses in the chain. We will do our best to track down the hacker and try to contact the hacker and help everyone get their data back.” losses”.

The latest developments showed that their efforts have been successful as the hacker returned 70% of the stolen funds. Transit Swap gave a to update, confirming that the hacker has returned 70% of the funds via two addresses. And he said security experts are still working to recover any remaining funds.

In the meantime, users have asked Transit Swap to cover the rest of the stolen funds if the hacker doesn’t return the rest. They reasoned that the exploit was due to the DEX failing and would not have happened otherwise.

According to Chainalysis, total crypto crime revenue in the first half of this year was $1.6 billion, less than the figure recorded in the first half of 2021. The drop in crypto crime figures coincided with a drop in values. crypto. However, some forms of crypto crime have increased in the last year, such as the value of hacked crypto assets rising from $1.2 billion to $1.9 billion.

The rise in fraud and scams correlates with the massive growth in activity within cryptocurrencies around the world. Companies like PayPal, Meta Inc. (formerly Facebook), Mastercard, and many more have shown increased interest in cryptocurrencies.

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