Thorchain, a multi-chain DeFi project, has had a tumultuous month.
The project has been hacked twice in the last two weeks, with its native coin, RUNE, falling from a high of $7.61 to below $4.
During the second exploit, the attacker also left a letter indicating that they might have made off with a lot more money. Instead, they “intended to teach [the] Thorchain developers a lesson.”
The team hurried to get more evaluations from their audit partners, Trail of Bits and Halborn Security, initiate a $500,000 bug bounty program with ImmuneFi, and even plan for insurance measures in case of future attacks.
They also said they hosted “over 20 white hat security professionals for a Thorchain code walkthrough,” implying that “shadowy super coders are focusing on security more than core [developers] creating.”
Investors tend to be a lot more secure in the project’s security now that there are so many eyes on the code. RUNE has gained 36.3 percent in the last 24 hours as of press time, making it the top gainer among the top 100 cryptocurrencies.
Thorchain is a decentralized exchange based on the Cosmos blockchain, similar to Uniswap. Thorchain uses Cosmos’ multi-chain features to allow traders to swap cryptocurrencies even if the token standards aren’t the same. Of course, you could do it without Thorchain, but you’d need the support of a custodian like Coinbase. Instead, the DeFi project’s “Chaosnet” capability, which was unveiled in April, decentralizes this communication.
Chaosnet, on the other hand, has been the main target of recent attacks, with some analysts claiming that the functionality was rolled out too rapidly. ShapeShift CEO Erik Voorhees said, “The project needs to slow down.” “It’s time to go with the turtle approach.”
The turtle method looks to have paid off handsomely after halting the network and recouping.