Ethereum

Kame aggregator recovers 185 ETH after Sei exploit

8 hours ago
Bitcoin Ethereum News

Decentralized exchange aggregator Kame has announced the recovery of part of the funds stolen in a security breach earlier on Saturday. According to the platform, it negotiated with the attacker, securing the return of 185 ETH through an Ethereum transaction.

In an earlier alert, the platform told its users and the general public on blogging platform X about the potential exploit that may be affecting users connected to Kame. As a precaution, it urged users who still had funds connected to Kame to revoke approval immediately till the issue was sorted. “We sincerely apologize for the inconvenience and are working closely with the team to identify and resolve the issue as quickly as possible. We will share updates as soon as we have more information,” the decentralized aggregator said.

Kame aggregator recovers part of its stolen funds

Later in the day, it released a follow-up report urging its users to revoke token approvals to two of its contracts, noting that the investigation was still ongoing. While investigations were still ongoing, Kame aggregator said it was important that users carry out the instructions, with the platform dropping a list of steps that they could undertake to revoke the approval. “This step is critical to ensure the safety of your assets. We will provide further updates as soon as possible,” it said.

In an updated post by one of the developers, the post stated it has placed multiple bounties to track the exploiter and, coordinated with partners to get their support. The developer said they were also in contact with the hacker via DM on Blockscan, negotiating to have a portion of the stolen funds returned, while still working on further negotiations. “Our current priority remains to mitigate damage, recover funds, and strengthen security moving forward,” the developer said.

After direct communications with the attacker, Kame acknowledged that about 185 ETH had been transferred by the attacker into a recovery wallet. The exact size of the exploit is yet to be determined, but the platform has promised a full review into the issue in order to determine the total losses. The team also mentioned that it is looking into compensation packages for users impacted by the breach.

Promise of compensation amid rise in hacks in 2025

The framework is expected to be published after the investigators are done auditing the wallet data. Until then, users have been advised to disable token approvals following the laid-down steps and wait for updates concerning security protocols. In addition, the team also noted that the recovery was achieved in a collaborative effort with partners from the Sei community. The recovery came at a time when Ethereum posted a slight 5% gain despite registering a decline for the month.

Since the beginning of the year, there has been a major uptick in hacks and criminal thefts in the crypto market. As previously reported by Cryptopolitan, the latest analysis from blockchain security firm PeckShield showed that crypto hacks and exploits went up by 15% from July. The security report showed that more than $163 million was stolen across 16 different incidents. The report noted the incidents of Btc Turk, ODIN.fun, BetterBank, and CrediX Finance are the highlights of the month.

On August 14, cybersecurity firm Cyvers noted unusual activities involving Ethereum and other tokens on different blockchains. The Cyvers systems flagged large transactions on Ethereum, Arbitrum, Base, Optimism, Polygon, Avalanche, and Mantle. “Our system detected multiple alerts across ETH, AVAX, ARB, BASE, OP, MANTLE, and MATIC networks,” the company reported. About 20 minutes later, Btc Turk paused deposits and withdrawals, noting technical issues with its hot wallet. According to Cyvers, $48 million worth of Ethereum was stolen.

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Source: https://www.cryptopolitan.com/kame-aggregator-recovers-185-eth/