Cypher protocol contributor “Hoak” confessed to stealing nearly half a million dollars in community funds to feed a growing gambling habit in a public statement on Twitter.
Hoak’s public confession appears to have been triggered by a simmering investigation that began on the Cypher Protocol Discord server.
Cypher Protocol is a cross-margin decentralized exchange on the Solana blockchain. The users have already reached out to law enforcement.
According to figures shared by Cypher Protocol, the stolen funds included $314,674 in USDT, USDC, and Solana (SOL) that were sent to Binance by a wallet associated with Hoak. There is more to it. Later the same wallet amassed over $184,077 in ETH, USDT, USDC and some other tokens.
“I know likely nothing I say or do will make things better—perhaps other than rotting in jail,” the pseudonymous developer with gambling addiction wrote. “To address the elephant in the room, the allegations are true, I took the funds and gambled them away. I didn’t run away with it, nor did anyone else. Whatever comes next is in God’s hands.”