Following issues of an attacker targeting the DeFi platform, the CEO of El Dorado Exchange ultimately responded to the community’s questions.
Dorado, the creator of Perpetual DEX El Dorado Exchange (EDE), stated that the project is responding to the ELP-3 exploit, which occurred last week (and paid a fee of $90,000) in response to yesterday’s occurrence.
At this time, the project promptly launched a contract dubbed the “bomb contract” to liquidate safe listed traders who targeted the platform to prevent bad traders who had previously attacked the platform from launching another assault.
This encouraged paranoia among the team members to keep an eye out for someone exploiting or trying to see whether an exploit was conceivable, which resulted in a self-fulfilling prophecy.
The only purpose of this contract is to catch a particular safe listed address that it believes is assaulting ELP-1. This contract aims to protect ELP-1 users from prospective attackers and penalize them.
Dorado indicated that yesterday’s most recent attack resulted from poor decision-making and that they will devise a method for compensating the affected customers.
He added that The perpetrator should not be compelled to do anything, regardless of their moral beliefs. Dorado further stated that the thief from yesterday demanded a 10% processing charge before returning the stolen funds.
Reports have it that, El Dorado Exchange lost $580,000 due to the attack. An address has been sending modest quantities of money to the ELP-1 pool of arbitrum. Then promptly withdraw significant sums of money.
According to the perpetrator, The protocol backdoor enables the developer to liquidate any position forcibly. If the developer admits to manipulating prices, the fund will be reimbursed. According to PeckShieldAlert the aggressor had returned 334,000 USDC.
