Bitfinex Offers $400 Million To Recover Stolen Bitcoins In 2016

Losing funds through hacking has become commonplace in the crypto industry. While some, use legal means to defeat hacker, Bitfinex seems to have something else in mind.

Bitfinex Choose a Different Route

Crypto is transitioning from unknown to valuable. While this does take time, it also drives adoption rates. Along with the good, comes the bad. The crypto industry has fallen prey to several attacks over the years. Despite the magnitude of the attack, huge amounts of cryptocurrency have been lost due to this attack. While authorities are still investigating certain unsolved hacks, cryptocurrency exchanges have taken a different route to catch the attackers.

Hoping to recover the amount lost in the 2016 attack, cryptocurrency exchange Bitfinex is proposing a bounty to those who can direct the exchange to attackers. Back on August 2, 2016, the exchange’s security system was compromised which further led to the loss of nearly 120,000 Bitcoins. Bitfinex, in its blog post, highlighted that those who can lead hackers to hackers will be rewarded with nearly 400 million USD. Elaborating on the same, the exchange suggested that a total of 5 percent of the recovered Bitcoins would go to those who helped reach the hackers.

Back in February 2022, authorities investigating hacking in the United States reportedly recovered a total of 27,66270285 Bitcoins from the 2016 hack. This would further leave the exchange with a total of $1.344 billion worth of Bitcoin.

Moreover, the hackers will not be left with nothing. Because the planners plan to let the hackers keep about 25 percent of the recovered Bitcoins. Bitfinex pointed out that the details of the people who helped the exchange along with the details of the hackers will remain confidential. Talking about the incident, the exchange wrote,

“This incident is a dark chapter in the history of our exchange, and we are pleased to offer this prize as further evidence of our determination to recover the lost property.”

BitFinex said

Immediately after the exchange made this announcement. Some from the community praised the exchange for cutting a fair deal with everyone involved in the attack. However, several others indicated that law enforcement would still investigate the matter.

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