Over a week following the ZkSync hacking incident, the perpetrator agreed to a bounty agreement and returned a substantial portion of the stolen funds.

On April 15, the Layer-2 scaling solution ZkSync, which operates on the Ethereum network, encountered a security breach. This incident involved a compromised account containing $5 million worth of ZkSync's native token, ZK. According to reports from BeInCrypto, the event triggered a 16% decline in the token's price.

The situation became contentious when certain community members identified troubling data points. These disclosures prompted severe accusations, with some drawing parallels between ZkSync and another project, Mantra (OM). Some observers suggested that ZkSync had rapidly liquidated its assets in response to the hack, a move that some interpreted as embezzlement. However, recent developments have indicated that the hacker returned 90% of the stolen funds, adhering to the safe harbor deadline set by the ZkSync Association.

In an announcement posted on X (formerly Twitter) on April 21, the ZkSync Security Council proposed a 10% bounty for the return of the stolen funds, setting a 72-hour time frame for compliance. Subsequently, the hacker complied, transferring approximately $5.7 million to the ZkSync Security Council through three separate transactions on April 23.

The first two transactions were conducted on the ZkSync Era blockchain. In the initial transfer, $1.83 million worth of Ethereum (ETH) was sent to the ZkSync Security Council's ZkSync Era address. The second transfer involved moving $2.47 million worth of ZkSync tokens. The third transaction saw the hacker send 776 ETH, valued at around $1.4 million, to the ZkSync Security Council's Ethereum address.

Following this repayment, the ZkSync Association pledged to release a comprehensive report detailing the specifics of the security breach. It is noteworthy that the hacker strictly adhered to the instructions provided by the ZkSync Security Council, leading to the closure of the case without further legal or punitive actions. This outcome aligns with previous instances, such as the Ronin Bridge hackers who returned $10 million worth of ETH and received a $500,000 bounty.

Despite the resolution of the incident, the ZK token has continued to demonstrate bearish trends, declining by nearly 2% over the past 24 hours. At the time of writing, the token was trading at $0.06. It is important to note that not all hacking incidents result in the acceptance of safe harbor offers. Recently, Bybit initiated a bounty program offering up to 10% of recovered funds to ethical hackers and cybersecurity experts, aiming to recover $1.4 billion in stolen assets. While some efforts achieved partial success, these recoveries were largely due to contributions from key industry participants rather than the exploiters themselves.

Other blockchain ecosystems also employ bounty programs to enhance security measures. For instance, Charles Hoskinson of Cardano recently announced a $1 million reward for testing the security of the new Lace Paper Wallet. Similarly, Uniswap introduced a record-breaking $15.5 million bug bounty program targeting critical vulnerabilities within its v4 core contracts. These initiatives underscore the growing importance of proactive security measures within the blockchain industry.

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