Nomad also said it would pay a 10% reward to hackers who returned the tokens to an Ethereum address—and that no legal action would be taken against those who did so. Stolen funds have slowly trickled in since the announcement.
“We urge all good actors to return funds ASAP to cement your status as a cooperative white hat,” the protocol said. “Anyone who returns at least 90% of the total funds they took will be considered a white hat. White hats can also choose to return the full amount.”
A token bridge is a tool in the crypto world which lets people move assets between different blockchains. This helps people take advantage of different tools and projects on various blockchains, without having to trade their tokens through a centralized exchange.
Nomad’s bridge allows users to move digital assets between a number of different blockchains, including Avalanche and Ethereum.
Bridges are popular in the world of decentralized finance (DeFi) but are a relatively new technology. Hackers were able to take advantage of a configuration error in a smart contract that Nomad uses to process messages.
The project at the time of writing had received $425,142.04 in Ethereum and $21.9 million in other Ethereum-based tokens from hackers.
Stay on top of crypto news, get daily updates in your inbox.