Axie Infinity Promises to Recover All $600 M of the Lost Funds to Its Users

The parent firm of Axie Infinity, which was recently the victim of an unprecedented $600 million crypto-hack, has announced that consumers who lost money in the robbery will be reimbursed.

Sky Mavis’ chief operational officer, Aleksander Leonard Larsen, told Bloomberg, “We are absolutely committed to reimbursing our gamers as quickly as feasible.” “We’re still working on a solution; that’s something we’re talking about right now.”

According to a blog post published Tuesday, a hacker broke into the Ronin Network’s network, stealing 173,600 ether and 25.5 million USDC stablecoins. It affected the Sky Mavis game studio’s Ronin Network validator nodes.

“We’re collaborating with law enforcement, forensic cryptographers, and our investors to ensure that all money is recovered or refunded,” Ronin Network wrote.

Axie Infinity suffered one of the biggest DeFi hacks

“In order to fabricate false withdrawals, the attacker exploited compromised private keys.”

Funds stolen in the crypto hack include “deposits of players and speculators and the Axie Infinity Treasury revenue,” Larsen said. 

The assault took place on March 23, but the corporation just found out about it on Tuesday.

Axie Infinity is still one of the most popular play-to-earn games, and gamers continued to come in on Wednesday after the crypto theft was revealed.

To drain cash in two separate transactions, hackers exploited a weakness in the bridge — a software mechanism for transferring different types of crypto tokens.

“The simplest way to think about it is that the bridge is the Ronin Network’s bank,” Larsen explained.

“The robbery that occurred resulted in the loss of all ETH and USDC. As a result, the ETH/USDC on Ronin Network is temporarily unbacked. However, we are considering alternative solutions.”

Hackers struck Poly Network in August 2021, stealing almost $600 million from the cross-chain protocol, while most of the assets were later restored.

The native cryptocurrency used on the Ronin blockchain, RON, was down roughly 20% following the hack.

The team updated the blog with updates about the current works that they are doing to catch the culprit. They are in close contact with key stakeholders and law enforcement to ensure that the funds will be recovered.

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