I Returned The Nomad Funds And All I Got Was This Lousy Hat

According to blockchain security company, PeckShield Alert, one of the wallets involved in the Nomad bridge mining transferred approximately USD $7.5M in crypto to an unknown wallet address and not the official Nomad recovery wallet address. The transfer comes as Nomad is trying to incentivize hackers to return the stolen funds.

Image Credit: BeInCrypto

The exploiters have transferred 103 $WBTC, 1,100 $ETH, and 3.45 million $DAI to an unknown wallet address.

https://twitter.com/PeckShieldAlert/status/1562446867216052226

Nomad's White Hat Program

On the 5th of August, Nomad launched a reward program allowing hackers to keep 10% of the stolen assets and return the remaining. The firm mentioned that hackers will be labelled as "white hat" should they return 90% of the stolen funds and will not be facing any legal consequence as a result.

According to blockchain analytics firm Etherscan, white hat hackers have returned approximately USD $36.5M worth of crypto to Nomad’s recovery fund wallet since the launch of the program.

Nomad is also working with blockchain intelligence company, TRM labs, to track the black hats and recover the stolen funds.

On the 23rd of August, Nomad collaborated with NFT company Metagame to launch an exclusive wizard’s white hat NFT to incentivize hackers to return the stolen $190 million of the Nomad Bridge.

The NFT currently serves only as a trophy, and the first 50 people who return the stolen assets under this reward program will additionally earn 100 $FF tokens, worth around USD $25 at the time of writing, from Forefront.

https://twitter.com/nomadxyz\_/status/1562097376214388736

However, the move has been ridiculed from the community as the NFT simply acts as a symbol for the hackers instead of providing any actual benefit.

Currently, Nomad bridge is still working hard to get back the lost funds but the measures put forth by the platform does not seem to be effective as the amount of money returned is minuscule comparative to the damage of the attack.

Read More: How Do Bridges And Networks Get Hacked? Understanding 51% Attacks

[Editor’s Note: This article does not represent financial advice. Please do your own research before investing.]

Featured Image Credit: Chain Debrief