Cryptocurrency Hacker Allegedly Stole $65 Million
Summary:
A 22-year-old hacker, Andean Medjedovic, faces charges for allegedly stealing $65 million in cryptocurrency from the KyberSwap and Indexed Finance decentralized finance (DeFi) protocols.
Indexed Finance Hack:
* Medjedovic exploited a systemic vulnerability in Indexed Finance's protocol by using flash loans to purchase a vast supply of tokens at inflated prices.
* He then swapped these tokens for other currencies, artificially pumping their value and earning $4 million in Sushi tokens.
* Medjedovic allegedly rejected Indexed Finance's offer of a 10% reward for returning the funds and taunted its owners.
KyberSwap Hack:
* In 2023, Medjedovic allegedly stole $50 million from KyberSwap using a similar method to the Indexed Finance hack.
* He exploited a complex system of trades to "glitch" the pool of tokens and launder the cryptocurrency through various blockchains.
Medjedovic's Defense:
* Medjedovic claims to have merely identified a "mispricing opportunity" and acted within the rules of the smart contracts.
* He argues that other participants who lost tokens were also taking risks.
Charges and Aftermath:
* Medjedovic faces five charges related to the alleged thefts.
* He is currently at large, making it unclear whether the charges will proceed.