Tornado Cash Attacker Submits Proposal to Undo Attack


Kind of got an odd one to start the day off with Wendy O, what's going on with tornado cash? This one's kind of crazy. So apparently, yesterday, there was an attacker that took over tornado cashed out with vote fraud. The token apparently dumped 40%, but the attacker offered to undo the attack, which is all very interesting considering what's happened with tornado cash. So the latest update, the attacker submitted a proposal that would undo the changes to the Dow if the proposal passes the malicious code that the attacker integrated into the protocol will be removed and the governance of tornado caches down will go back to token holders, voting closes May 26th and apparently torn was up 10% on this news. It was really bizarre that this happened on a Sunday, but I feel like a lot of the crypto news is starting to come out on Sundays from what we've seen this last year. Will you're a little bit more technical than I am. Do you want to talk about this a bit? I mean, it kind of seems like I should put my tinfoil crown on. I don't know though. Anything with tornado cash, you definitely should. An interesting problem for tornado cash started going back two or three years to their torn token, which they launched to kind of be like all the other products out there to have a Dow to be a DeFi protocol that has some sort of governance scheme, it was a very hot topic. Also give some liquidity for early people who invested in tournament cash protocol and wanted to get some money for what they built. Unfortunately, for a product for their cash, a token really didn't make sense because of the privacy implications. And now we're seeing even further issues where it seems the governance wasn't set up correctly. There were some bugs involved with it. And someone was able to exploit the underlying code to mint themselves a bunch of new tokens and then take over the entire governance scheme. They essentially meant to themselves so many tokens that the only vote that mattered was their votes. Now we're seeing something that I don't think many people thought would occur and that is that the person now in control of governance might undo everything they did. And just sort of show that this was a white hack or maybe a gray hack, a torn token has been down on the news, but it has been back up since by about 10% since the news about the possible reconfiguration and governance has been going through.

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