ZachXBT: Custodian for $63M Munchables Exploit Funds

In an April 1 announcement, it was revealed that prominent blockchain investigator ZachXBT has been selected as one of four custodians for a multi-signature (multi-sig) wallet that holds the hacked user funds of the GameFi protocol Munchables. Munchables developers are confident that ZachXBT’s involvement will ensure the safe return of the funds. The other custodians are Manifold Trading, Selini Capital, and Munchables itself. Nethermind will be brought on board to audit all refreshed contracts before the platform goes live again.

The good news is that all of the users’ assets have been recovered, and refunds will be sent directly to their wallets at the time of the exploit. ZachXBT has confirmed his temporary role as a signer for the initial period, explaining that he did not want to be a long-term member of the multi-sig team. The developers have reassured users that any changes in signers will be announced by the team.

To show appreciation for the return of the funds, developers have promised additional compensation in the form of “massive multiples on game rewards” for those who deposited funds. The platform will relaunch with NFT migration plans and exciting new features that will be revealed soon. Custodians and users who assisted in stopping the attack will receive ETH and future MUNCH donations as a thank you for their help in recovering the assets.

In a statement, Munchables developers quoted Confucius, the ancient Chinese philosopher, expressing the belief that we have two lives to enjoy, and the second begins when we realize we only have one. This message reinforces the importance of valuing and protecting our assets.

The attack on Munchables took place on March 26, and it resulted in a loss of $63 million. It was alleged that the platform had hired a North Korean developer with the alias “Werewolves0943,” who then compromised the game’s private wallets. ZachXBT conducted a post-mortem analysis and discovered that the exploiter had claimed to be four different developers on the Munchables team. The malicious developer has since shared the private keys to the users’ funds with no conditions attached.

The involvement of ZachXBT and the other custodians brings hope for the safe return of the hacked user funds. The Munchables team is taking steps to strengthen their security measures and compensate those who played a role in recovering the assets. As the platform prepares to relaunch, users can look forward to new features and exciting opportunities in the world of GameFi.