Stars Arena Nearly Recovers Stolen Crypto After Major Security Breach

How It All Went Down

On October 7, Stars Arena faced a significant crisis as they reported a major security breach due to an exploit in their smart contract. Around 266,000 Avalanche (AVAX), valued at about $3 million at the time, was exploited. To put it mildly, the situation wasn’t exactly a walk in the park for the crypto social media platform.

The Return of Most Funds

Fast forward to October 11, and here’s the plot twist: Stars Arena announced that they had managed to recover approximately 90% of those stolen funds. They reached an agreement to offer the exploiter a bounty of 27,610 AVAX (~$257,000) plus compensation for an additional 1,000 AVAX lost during the exploit, essentially turning a foe into a somewhat friendly acquaintance.

Community Response

Stars Arena took to social media for some transparency, updating their community on the recovery. Let’s face it, when you’re dealing with millions disappearing faster than a magician’s rabbit, people deserve some clarity. They acknowledged the event as a less-than-great episode in their security saga.

“We have recovered approximately 90% of the lost funds.”

Security Measures in Place

To prevent any further escapes of funds, Stars Arena has rolled up their sleeves, showcasing their commitment by drafting a new smart contract. They also reached out to a dedicated development team to perform a full security audit, highlighting the importance of attentive vigilance in the ever-evolving world of crypto.

A Bumpy Start to October

Not so long before the October 7 exploit, on October 5, Stars Arena experienced a smaller exploit where malicious actors made off with a mere $2,000. The small chump change heist was due to a naked flaw in the price function within the smart contract, allowing the exploiter to sell user shares for practically nothing.

Meanwhile, the competition hasn’t been free from drama either. Friend.tech users faced their own headache with targeted SIM-swap attacks, leading the platform to beef up its security features just in time.