CertiK Freezes $160,000 Stolen During Merlin DEX Rugpull

Blockchain security firm CertiK has revealed that it has frozen around $160,000, which was stolen during the Merlin DEX rug pull last week.

Merlin, a zkSync-based decentralized exchange, fell victim to an insider rug pull, resulting in a loss of $1.8 million.

Stolen Funds Blocked

The blockchain security firm and smart contract auditor shared the news of the freezing of funds via its official Twitter handle. CertiK tweeted,

“We want to provide the community with an update regarding the Merlin DEX incident that took place on April 25th, when Merlin insiders rugpulled their users for $1.8M. This was an internal rug pull. Merlin insiders abused the owner’s wallet privileges. We initially tried to collaborate with the remaining members of the Merlin team, but a number of core members were unwilling to verify their true identities.”

According to CertiK, the firm tried to reach out and collaborate with members of the Merlin team. However, they were unwilling to verify their identities, leading to complications in efforts to aid victims of the rug pull.

“This lack of cooperation has complicated our efforts to validate and aid victims. We are focusing on working with law enforcement and have submitted information to relevant US & UK agencies.”

The firm also added that it was monitoring the stolen funds and working with law enforcement agencies in the United Kingdom and the United States of America.

“We have successfully frozen $160K of the stolen funds with the help of partners. We will continue to monitor the movement of all stolen funds in an attempt to freeze and recover the remaining amount.”

The Merlin Rugpull

Merlin tweeted on its official handle that the rug pull was orchestrated by its back-end team, adding that it had put a high degree of trust in the team. It added that it would continue to support the community and help resolve the issue. CertiK also took on some of the blame, stating that they failed to adequately inform users about t

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Author: Amara Khatri

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