Stolen Funds Spark Debate Over Blockchain Intervention

Bitget's recent $387.5 million hack has exposed a double standard in the way stolen funds are handled within the crypto industry.

The exchange is calling on THORChain to block addresses linked to the attack, but it remains unclear why similar demands aren't being made of other blockchains that carried the stolen assets.

According to Bitget, the attacker exploited a vulnerability in a third-party security product and used internal credentials to submit fraudulent withdrawal commands.

The stolen funds were then moved through multiple networks and services, including Ethereum, BNB Chain, and THORChain, before being converted into Bitcoin.

THORChain's governance process makes it difficult for the network to halt trading in emergencies, as this would disrupt legitimate users and require independent node operators to enforce new transaction restrictions.