Loopscale's exploiter willing to accept bounty offer following $5.8 million hack

Solana-based DeFi protocol Loopscale is set to award a bounty worth 3,947 SOL ($594,000) to an exploiter willing to turn whitehat following a $5.8 million exploit over the weekend.

"At 3:52PM ET today, we received a response from the exploiter. They have indicated a willingness to return the exploited funds in exchange for a bounty," Loopscale said on X on Sunday.

Earlier on Saturday, Loopscale suffered a hack that resulted in losses of over $5.8 million — or about 12% of its total value locked — just two weeks after its launch.

In a message sent to the address of the exploiter, Loopscale acknowledged that the hacker spotted a "vulnerability in Loopscale's pricing system" and offered the exploiter a whitehat agreement in exchange for returning 90% of the exploited funds (35,527 SOL).

"Upon receiving the transfer, we agree to allow you to retain a bounty of 10% of the funds (3,947 SOL) and release you from any and all liability regarding the attack," Loopscale said.

With the exploiter later showing willingness to accept the offer, the Loopscale team said it will share a plan for resuming withdrawals and release a full post-mortem in the next few days. The protocol said it has re-enabled loan repayments, top-ups and loop closing on Saturday evening.

Loopscale, which launched on April 10, previously raised $4.25 million in 2021 from backers including Solana Labs and Coinbase Ventures. At the time, the project operated under the name Bridgesplit and initially focused on developing an NFT-based yield product.