zkLend Hack on Starknet: $9.5M Stolen, Will Funds Be Returned?

zkLend Hack on Starknet: $9.5M Stolen, 10% Whitehat Reward Offered

On the Starknet network, zkLend is a DeFi lending protocol that was hit with a huge hack that occurred on February 12th of 2025, with a loss of $9.5 million worth of Ethereum. The funds were moved to Ethereum and laundered using Railgun; however, due to the protocol policies, Railgun returned the stolen assets to the original address, as stated by Cyvers, a blockchain security firm.

What Happened?

The attack on zkLend has sent shockwaves through the crypto community. After the hack, zkLend issued a message addressed to the hacker offering a reward of 10% for the return of the remaining early funds. This whitehat bounty means that the hacker can keep 10% of the assets stolen if the hacker returns 90% of the assets, good for about 3,300 ETH or $8.6 million, by 00:00 UTC on February 14, 2025.

There is a clear message from zkLend that if the hacker misses the deadline and returns no funds, the protocol will file a lawsuit against him, working with security firms and law enforcement in tracking and prosecuting the attacker.

Security Concerns in the Crypto World

This exploit highlights ongoing vulnerabilities in decentralized finance (DeFi) and blockchain security. Despite a 44% drop in crypto hacks compared to last year, over $73 million was still stolen in January 2025 alone. Experts are concerned that 2025 could see even more serious attacks after the $2.3 billion lost in crypto exploits in 2024, a significant jump from 2023. Recent events, like UFCs Instagram account Hack to promote a fake meme coin, further emphasize the growing threat in the crypto and blockchain space.

What Makes zkLend Stand Out?

zkLend’s platform on Starknet allows users to lend and borrow crypto, providing a decentralized solution for financial activities. However, the hack has raised questions about security in such protocols. Despite the exploit, zkLend is actively working with other entities, including the Starknet Foundation and Binance Security, to track the stolen funds and identify the hacker.

Will the Hacker Return the Funds?

While some hackers have returned stolen funds in the past, such as a mysterious $71 million return in May 2024, the outcome of this situation remains uncertain. The crypto world is watching closely to see if the hacker will take the whitehat bounty offer and return the stolen Ethereum.

In conclusion, the zkLend exploit on Starknet serves as a reminder of the ongoing risks in the crypto space. As the investigation unfolds, it’s clear that security must remain a top priority for DeFi projects, and the attention of blockchain security firms is more crucial than ever.