Bybit demands ParaSwap to return profits from Lazarus transactions
Date: 2025-03-06 Author: Oliver Abernathy Categories: BUSINESS
The request was posted on March 4 on the ParaSwap forum and sparked a discussion in the community. The proposal stated the need to freeze the assets and then return them to the specified wallet. However, some participants expressed doubts, demanding additional verification of the information. On March 5, Bybit confirmed that it had officially initiated this request.
Taproot Wizards co-founder Udi Wertheimer noted that refusing to return the funds could be perceived as an indirect endorsement of the proceeds from the hacker attack. This could negatively affect the platform's reputation and attract the attention of regulators.
At the same time, Wertheimer warned about the possible consequences of the asset return, which could create a dangerous precedent. He emphasized that one of the fundamental principles of decentralized protocols is that “code is law,” and the fees were accrued as part of the work of smart contracts. If the DAO agrees to the exclusion, this could trigger further demands for refunds, including disputes, which would threaten the sustainability of the entire DeFi ecosystem.
Some users proposed a compromise option - to return the principal amount, leaving 10% as a reward for the DAO. This approach is based on the principles of Bybit's own bounty program. However, other participants opposed any concessions, fearing reputational and legal risks.
It is worth noting that from February 24 to March 2, the volume of swaps on the THORChain platform reached a record $ 4.66 billion. According to analysts, it was through this protocol that Bybit hackers carried out the exchange and laundering of funds.
Earlier, on February 27, THORChain's main developer, known by the nickname Pluto, announced his departure from the project after a vote to block the attackers' transactions was canceled.
