18 Feb 2025

light mode

White hacker received a record bounty award from Wormhole

White hacker received a record bounty award from Wormhole

“To catch a criminal, you have to think like a criminal.”

Founders of blockchain protocols have long understood this truth from the CID, starting to invite classic developers and hackers to cooperate. That is, those who think not in terms of engineering, functionality, and user capabilities, but in terms of looking for vulnerabilities and inefficiencies. 

Hackers who work with various companies in this format are usually called “white hat” (as antagonists of “black hat hackers” engaged in hacking, theft, and scam). 

Wormhole recently made history as a project with one of the largest and resounding exploits in the decentralized finance industry: criminals managed to loot the platform for more than $300 million. Therefore, although the team, unfortunately, has to follow the path of its own negative experience (and not “ahead of the curve” as it could be), the bounty bonuses they offer for white hat hackers are very generous.

On February 11, the Immunefi platform, which specializes in finding errors in smart contracts, received a grant from Wormhole for $10 million (with payment in USDC). The bounty program had several levels of difficulty, from $2.5 million to $10 million, depending on the hacker’s ability to “empty” all the locked value from one or more chains.

Participants were required to pass KYC verification, although the hackers used their nicknames for the program. The winner with the nickname satya0x solved the problem in less than two weeks. The hacker’s Twitter page was also created in February, from which it can be concluded that the account was opened specifically for the Wormhole contest.

Already on February 24, he indicated a critical vulnerability in the main protocol bridge on Ethereum, which consisted of the possibility of proxy self-destruction at the time of the update. This could potentially lead to the blocking of user funds.

Proxies allow making periodic changes to the code, which is a necessity even for seemingly unchanging things like smart contracts (in particular, to eliminate detected errors and bugs).

Thus, these proxy contracts carry the main risks of external interference in the code (or exploitation of existing weaknesses in it). The project team said that the vulnerability found by the hacker was confirmed and fixed. Re-testing the error showed that the protocol could ensure the security of aggregated assets.

This $10 million case was the largest bug bounty in history. For a project that lost more than $300 million, it cost 3% of the exploit to fix the problem.

Wormhole bonus size may remain the largest for a long time due to clear signs of a recession and a possible bear market: many DeFi protocols may face liquidity problems, and users a significant “thinning” of their crypto portfolios.

The content on The Coinomist is for informational purposes only and should not be interpreted as financial advice. While we strive to provide accurate and up-to-date information, we do not guarantee the accuracy, completeness, or reliability of any content. Neither we accept liability for any errors or omissions in the information provided or for any financial losses incurred as a result of relying on this information. Actions based on this content are at your own risk. Always do your own research and consult a professional. See our Terms, Privacy Policy, and Disclaimers for more details.

Articles by this author
Scammers Tricked Investors with a Fake Saudi Meme Coin

Scammers Tricked Investors with a Fake Saudi Meme Coin

Scammers impersonating Saudi Crown Prince Mohammed bin Salman on X claimed to launch an “official” KSA meme coin. Spoiler alert: It was a total scam.

Anton Kryshtal
Italy Moves to Rein In Crypto as EU, U.S. Rules Diverge

Italy Moves to Rein In Crypto as EU, U.S. Rules Diverge

The Bank of Italy, together with the Italian securities regulator Consob, met with industry leaders to discuss the evolving rules for digital assets.

Anton Kryshtal
HashFlare: The Story Behind the Infamous Crypto Ponzi Scheme

HashFlare: The Story Behind the Infamous Crypto Ponzi Scheme

The HashFlare cryptocurrency Ponzi scheme is coming to a close, with its founders admitting to a $577 million fraud. Let’s take a look back at how this infamous platform started and operated.

Anton Kryshtal
AI Is Making Crypto Scams Smarter—Insights from Chainalysis 2024

AI Is Making Crypto Scams Smarter—Insights from Chainalysis 2024

The 2024 Chainalysis report confirms that AI-driven fraud is on the rise, with crypto scammers cashing in at least $9.9 billion through advanced deception tactics.

The Coinomist
Weekly Analysis of BTC, ETH, and the Stock Market (Feb 10, 2025)

Weekly Analysis of BTC, ETH, and the Stock Market (Feb 10, 2025)

An overview of BTC, ETH, XAUT, and S&P500 charts, and the current cryptocurrency market dynamics.

Artem Khomenko
Weekly Analysis of BTC, ETH, and the Stock Market (Feb 3, 2025)

Weekly Analysis of BTC, ETH, and the Stock Market (Feb 3, 2025)

An overview of BTC, ETH, XAUT, and S&P500 charts, and the current cryptocurrency market dynamics.

Artem Khomenko
Weekly Analysis of BTC, ETH, and the Stock Market (Jan 27, 2025)

Weekly Analysis of BTC, ETH, and the Stock Market (Jan 27, 2025)

An overview of BTC, ETH, XAUT, and S&P500 charts, and the current cryptocurrency market dynamics.

Artem Khomenko
How to Bump a Transaction in the Bitcoin Network

How to Bump a Transaction in the Bitcoin Network

Sometimes, Bitcoin transactions can get “stuck,” especially if a low fee was set. In such cases, you might wonder: Why is my Bitcoin transaction stuck?

bitOn
Inside Cryptocurrency Farms: How Digital Coins Are Mined

Inside Cryptocurrency Farms: How Digital Coins Are Mined

Cryptocurrency farms and mining have evolved significantly since Bitcoin launched in 2009. To understand their growth, it helps to look at the broader history of resource extraction.

The Coinomist
From Bulls to Ballers — Why Celebrities Are Flocking to Crypto

From Bulls to Ballers — Why Celebrities Are Flocking to Crypto

Trump’s meme coin isn’t an outlier—it’s part of a broader trend. Back in 2021, celebrities were minting NFTs, and by 2024, they had moved on to personal token launches. The connection between fame and crypto has been growing for years, even if many failed to see it.

Vlad Vovk
Which Macroeconomic Factors Make Crypto Rise or Fall? 

Which Macroeconomic Factors Make Crypto Rise or Fall? 

It happens when you check the market and crypto prices are up or down for no obvious reason. Then you do some research and find out that there are actually reasons outside the crypto space.

Anahit Avetisyan
How Blockchain Helps Combat Disinformation

How Blockchain Helps Combat Disinformation

Fake news has become a global issue, shaping public opinion, fueling social tensions, and even influencing political decisions. With the rise of social media, the spread of misinformation has accelerated, making it increasingly difficult to regulate. However, blockchain technology offers a promising solution in the fight against fake news.

Daryna Nesterenko
Trading Psychology: How to Avoid Falling Victim to Your Own Biases

Trading Psychology: How to Avoid Falling Victim to Your Own Biases

The most successful traders aren’t always the smartest. More often, those who excel are the ones who understand psychological traps, manage their emotions, and maintain rationality under pressure.

Vlad Vovk
The Bitcoin Kid’s 2011 Prediction – How Right Was He? 

The Bitcoin Kid’s 2011 Prediction – How Right Was He? 

In May 2011, an unusual video surfaced on YouTube. A 12-year-old boy explained Bitcoin – how it works and what its future might hold.

Anahit Avetisyan
SBF’s Prosecutor Quits – What It Means for Crypto Crime

SBF’s Prosecutor Quits – What It Means for Crypto Crime

Danielle Sassoon, Acting U.S. Attorney for the Southern District of New York, has resigned, making headlines this week. And you’ve definitely heard of one of her biggest “client” names.

Anahit Avetisyan
MORE
«Mass Adoption Isn’t About Tech – It’s About Perception». Bitmedia Founder Matvii Diadkov – About RWA, Web3, And Marketing

«Mass Adoption Isn’t About Tech – It’s About Perception». Bitmedia Founder Matvii Diadkov – About RWA, Web3, And Marketing

Matvii Diadkov, founder of Bitmedia, shared with us in an exclusive interview his expert insights on Web3 adoption, impact of GameFi and community-centering tendencies in the market.

The Coinomist
“Satoshi is CIA”: Swedish crypto bro opens up about his Bitcoin journey

“Satoshi is CIA”: Swedish crypto bro opens up about his Bitcoin journey

The first crypto craze took place almost a decade ago. Overnight, many people found out about Bitcoin and its underlying technology, blockchain.

Lesia Dubenko
MORE