NEAR Intents has taken decisive action by blocking transfers worth over $50 million linked to the Bitget hacker. The freeze cut off a primary money laundering route following the $387.5 million exploit that hit the exchange on Thursday.
The maneuver went beyond merely freezing assets in transit. NEAR Intents decided to waive its right to a 5% freeze reward from Bitget. It also rejected an additional 5% bounty designated for asset recovery. The decision to forgo millions of dollars in potential revenue was made solely so that more funds could be returned intact to the exchange. The held funds will later be handed over through due legal processes.
Refusing to Aid Money Laundering
The multi-million dollar freeze highlights the operational boundaries of permissionless systems across crypto networks. NEAR Intents General Manager Alex Shevchenko pushed back against the view that open access requires developers to stand by idly while their systems are used to launder money.
“Refusing to help launder stolen assets is our choice,” Shevchenko said.
Circle and Tether adopted similar protective measures. Both stablecoin issuers quickly blacklisted wallets associated with the exploiter. The prompt action froze $318,013 in USDC and USDT, cutting off the hacker’s liquidity across fiat-pegged rails.
THORChain’s Different Path
The proactive approach of NEAR Intents and the stablecoin issuers contrasts sharply with THORChain. The cross-chain protocol had previously faced public pressure to intervene, with Bitget CEO Gracy Chen directly urging THORChain to shut off services to hacker-affiliated addresses.
However, THORChain stood firm. The protocol declined to blacklist the attacker’s wallet addresses, arguing against imposing selective censorship on network users.
Who Benefits From Neutrality?
The collision of these two contrasting stances underscores an ongoing tension in crypto protocol development. Communities and developers continually grapple with a systemic dilemma: preserve pure, censorship-free access, or take an active role in preventing illicit activity from hiding behind the shield of decentralization.
For hackers, the absolute neutrality of network code is their best defense. But for victims like Bitget, tens of millions of dollars were saved only because one entity chose to break neutrality to stop the laundering of stolen assets.
Reported via Cointelegraph.
Previously: Bitget Hack Losses Reach $387.5 Million - CEO Reveals Hacker Manipulated Internal Transfers
Disclaimer: This article is for informational and educational purposes only, not financial advice. Cryptocurrency assets are highly volatile and carry significant risk. Always do your own research (DYOR) and never invest more than you can afford to lose.
