Sky Mavis raises $150M in New Funds to Repay Ronin Bridge Victims
The Ronin Bridge hack took place on March 23 and went unnoticed till March 29. The hacker(s) stole Ethereum and other cryptocurrencies worth over $600M. They did so by overtaking a majority of nodes (5 out of 9).
Sky Mavis to pay 100% reimbursement
Sky Mavis(referred to as the company henceforth) also owns Axie Infinity, one of the most popular blockchain games. The company has raised over $150M to reimburse stolen funds in a funding round led by Binance. The rest of the losses would be reimbursed by internal funds of the company and Axie Infinity.
Top crypto investors participated in the fundraising rounds. The leading names are:
- A16Z
- Dialectic
- Paradigm
- Accel
Further Binance CEO Changpeng Zhao said:
“We strongly believe Sky Mavis will bring a lot of value and growth for the larger industry and we believe it’s necessary to support them as they work hard to resolve the recent incident.”
Additional Developments
- Increase in the number of nodes.
The previous attack took place because there were a total of 9 nodes including third-party ones. The hacker took control over one internal node and all of the third-party nodes, gaining a total of 5 nodes through which they hacked the bridge.
According to Binance, the company proposes to increase the number of nodes to 21 within the next 3 months to further secure the network.
- Recovery of Lost Funds
To recover the lost funds of 56000 ETH, the company is working with law enforcement authorities. If the funds are not recovered within the next 2 years, there will be separate voting to decide on the next steps. Till then AXIE DAO will remain under-collateralized.