Forta Network, a Web3 cybersecurity firm, leverages machine learning models to monitor more than $40 billion in on-chain assets for its clients, which include Polygon, Compound, Lido, ZenGo, and Euler Finance, a crypto lending platform that lost $200 million in a cyber attack last month. Although the Forta system recognized malicious activity on Euler's blockchain protocol and alerted the company, it was not able to act quickly enough to prevent funds from being stolen. However, after negotiations with the hacker, customers were made whole. Forta's Christian Seifert, a former Principal Group Manager of Microsoft's cyber security and threat detection team, believes AI is an essential part of threat detection but also sees the downside of AI in its potential manipulation of OpenAI's ChatGPT. Seifert notes that while AI technology can enable more customized social engineering attacks, chatbots with large language models also have the potential to assist incident responders and transform technical data into natural language. According to a Pew Research study of US adults, 32% believe AI will have a mostly negative impact on workers, but Seifert is in the minority, believing that AI is a tool that augments and supports humans, not replace them. 

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On April 12, Ethereum-based noncustodial lending protocol Euler Finance announced that it would open redemptions after hackers returned the vast majority of assets stolen in a $197 million flash loan exploit last month. 

South Korean cryptocurrency platform GDAC was hacked, resulting in the loss of nearly $13 million worth of digital assets, including 60 BTC, 350.5 ETH, 10,000,000 WEMIX, and 220,000 USDT.

A number of DeFi protocols that have suffered attacks over the past year have been able to successfully recover at least part of their stolen funds, due in part to post-attack-negotiated bounty offers.

The pseudonymous Twitter user and blockchain investigator Officer’s Notes believes they may have been a suspect in the $195 million Euler Finance hack. In an April 4 Twitter thread, the security researcher stated, “Seems like I was a suspect in this case, as usual.”

On March 13, an attacker extracted the majority of funds held by Euler protocol and converted them into ETH and DAI.

Euler's EUL token rallied by around 15% to reach $3.96 in the past 24 hours, according to data from CryptoSlate. The positive price performance was influenced by news that the decentralized finance (DeFi) project had recovered all the stolen funds from a hack on March 13. Euler Labs, the project's developer, announced that all recoverable funds had been successfully returned by the exploiter. The protocol also stated that it would no longer accept new information for its $1 million reward campaign, which it used to incentivize the community to provide information on the exploiter. At the time of writing, EUL's value had retraced to $3.40.

The hacker who stole $197 million worth of crypto assets from decentralized lending project Euler Finance has returned the remaining sum of $31 million, comprising 10,580 ETH and $12 million in DAI, bringing the project's recovery to a close. The return of funds marks a rare instance of positive resolution in the DeFi space, where large-scale hacks have become increasingly common. Euler Finance offered the attacker a 10% bounty worth $19.7 million, and a $1 million reward for information on the attacker if the remaining 90% of the funds were not returned. The hacker returned the most-significant tranche of $102 million in ETH.

Euler Finance has announced that the hacker responsible for stealing around $200 million of assets has returned all "recoverable funds." The decentralized lending platform tweeted late Monday that the hacker had transferred 10,580 ether (ETH), worth around $19 million, to Euler.