The rogue trader behind the recent exploit that drained Solana-based decentralized finance (DeFi) lending protocol Mango Markets of $100 million has sent an ultimatum to the community.
- Posting on Mango's governance proposal platform, the exploiter says they want Mango’s treasury to use its $70 million available in USDC to repay the bad debt within the protocol.
- This bad debt stems from a bailout that Mango Markets and rival Solana lending platform Solend put together for a large Solana whale that had $207 million in debt spread across multiple lending platforms.
- At one time the whale had borrowed 88% of the available USDC on Solend.
- The bailout was put together over concern that should the SOL token drop by another 20%, the whale’s positions would be liquidated, which would cause contagion and adversely impact the Solana ecosystem.
- As a result of this ongoing issue with Mango Markets, the Wormhole token bridge announced it is pausing transfers from Solana.
- Part of the exploiter’s ultimatum seeks a promise from Mango it will not pursue a criminal investigation or freeze his funds.
- Mango's MNGO token is down 38% on day.
UPDATE (Oct. 12, 2022 11:13 UTC): Refers to rogue trader as exploiter instead of hacker.
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