White hat hackers secure ETC

UPDATE 8-9-2016 08:25 PST: The White Hat group has moved the funds to a bytecode of a wallet contract on ETC, according to Simon de la Rouviere, the Engineer of Societies at ConsenSys.

It appears a group of “White Hat Hackers” have secured 7 million ETC from a child DAO.  

These hackers transferred the funds hours before the DAO attacker could gain access to them. The move prevented the attacker from $17 million worth of ETC, according to NewsBTC. While the hackers secured these funds, many are questioning their true intentions with the ETC. The address holds 7.2 million ETC and no ETH. This amount of coins could easily be dumped at any time.

The possible outcome has many speculating, including Alex van de Sande, a member of the Ethereum Foundation, who is behind this. Sande has conducted a “White Hat Attack” days after the DAO attack. The group, “Robin Hood”, was able to retrieve 7.2 million ETH.

Due to his past “White Hat Attack” support, it was easy to point the finger at him. However, Sande released a statement denying any involvement.

Sande continues:

“I haven’t participated since [the Robin Hood attack], I don’t control any of the private keys to any relevant addresses, I had recent contact with them, but since the main goal was [accomplished] I don’t intend to keep contact and I certainly don’t want to be seen as their [spokesperson] for the next step.”

During the attack of the DAO in June, the attacker funneled the funds into a child DAO. According to the guidelines, the child DAO and the ether would not be accessible for 27 days. This timeframe gave the Ethereum Foundation and its developers time to decide the next step forward. Ultimately, the final consensus led to the hard fork last month.

Though all of the investments in the DAO were returned, not all the funds from the attack were safe from the attacker. The hard fork resulted in the forming of two different chains. The community was meant to continue working on the new chain (ETH) which would have eliminated the former chain as well as any funds in the DAO attacker’s possessions. However, those opposed to the hard fork formed their own community, Ethereum Classic (ETC), leaving the DAO attacker with funds in his/her account.

Not all will agree with this decision, but if the hackers clarify their intentions, it might put the community at ease.

We will continue to update this story as more details come in.

New Hampshire native, Danielle Meegan, is a writer based in Los Angeles. She has been published in a couple of sports and entertainment magazines and newspapers throughout the years and has dabbled with multiple virtual currency exchanges to understand the 'ins and outs' of trading. Danielle has invested in over 15 different virtual currencies, including Ether.
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