• CertiK, a blockchain security firm and smart contract auditor, has revealed that it has frozen approximately $160,000 of the stolen funds from the Merlin DEX rug pull last week.
• The rug pull was perpetrated by insiders who abused their wallet privileges, resulting in a loss of $1.8 million.
• CertiK is working with law enforcement agencies in the United States and United Kingdom to recover the remaining stolen funds and prioritize centralization risks in audit summaries to ensure users have a complete picture of potential risks.
Merlin DEX Rugpull Incident
Last week, Merlin DEX, a zkSync-based decentralized exchange, fell victim to an insider rug pull which resulted in a loss of $1.8 million. Blockchain security firm and smart contract auditor CertiK took action by freezing approximately $160,000 of the stolen funds.
CertiK’s Response
CertiK attempted to collaborate with members of the Merlin team but faced complications due to the lack of willingness to verify true identities. The firm is now monitoring the stolen funds and working with relevant law enforcement agencies in both the US and UK for further assistance.
The Aftermath
Merlin acknowledged its mistake on Twitter and expressed its desire to continue supporting its community while resolving this issue. Meanwhile, CertiK accepted some responsibility for not informing users about potential centralization risks during audits which they plan on rectifying going forward by providing more detailed audit summaries regarding these matters.
Ongoing Efforts
CertiK continues its efforts to freeze and recover as much money as possible from this incident while also improving audit reports by emphasizing more on centralization risks so that users have an accurate understanding of any potential threats before investing or trading on exchanges like Merlin DEX. Additionally, they are working closely with law enforcement agencies in order to bring justice those responsible for this act.
Conclusion
In conclusion, Certik’s response after being informed about this incident has been commendable due their dedication towards ensuring justice is served for those affected by it; their efforts going forward regarding improved auditing standards will help ensure similar incidents do not occur again in future.
