Transit Swap loses over $21 million due to code bug exploit and apologizes

"We are deeply sorry," Transit Swap said while revealing that a bug in the code allowed a hacker to get seize about 21 million dollars.

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Transit Swap, a multi-chain decentralized exchange (DEX) aggregator, lost an estimated $21 million after a hacker exploited an internal bug in a swap contract. Following the disclosure, Transit Swap issued an apology to users while efforts to trace and recover the stolen funds are underway.

“We are deeply sorry,” Transit Swap said while revealing that a bug in the code allowed a hacker to steal an estimated $21 million. Blockchain investigator Peckshield limited the attack to a compatibility issue or misplaced trust in the exchange contract.

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— Transit exchange | Transit Buy | NFT (@TransitFinance) October 2, 2022

Peckshield, along with other investigators including SlowMist, Bitrace, and TokenPocket, have joined the pursuit to track down the hacker. Transit Swap said:

"We now have a lot of valid information such as the hacker's IP address, email address, and associated addresses on the channel. We will do our best to track the hacker and try to communicate with the hacker. hacker and help everyone recoup their losses."

The flowchart below outlines the flow of stolen assets, as shared by Peckshield.

The ongoing investigation hinted that the hacker may have made previous withdrawals from known exchanges. Transit Swap promised to share more details with the community in due course, adding, "Thank you for your understanding and trust."

Transit Swap has not yet responded to Cointelegraph's request for comment.

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