After conducting an assessment of the Merlin DEX code, a crypto security company has pledged to repay

After an exit fraud this week involving their former customer Merlin, the smart contract audit company CertiK has decided to reimburse anyone affected.

After the crew behind the Merlin decentralized exchange disappeared with almost $2 million, the crypto security company that vetted the code revealed intentions to recompense victims.

After this week’s theft of cash from the Merlin project’s smart contract, the reputable security and smart-contract audit company CertiK tweeted that it was “exploring a community compensation plan.” It also said that further information regarding the strategy will be made public later.

CertiK and other security researchers came to the conclusion that the incident was really a rug pull, a kind of exit scam common in the DeFi area in which one or more members of a crypto project grab control and steal assets locked inside the protocol. Crypto Twitter commenters have pointed the finger of blame at CertiK, the security auditor who had only days before audited Merlin’s code.

The greatest degree of security in the blockchain ecosystem is a priority for us, and so is the community’s safety.

CertiK, which examines smart contracts of DeFi projects, received $88 million in investment at a $2 billion value last year. Projects typically hire audit organizations like CertiK to show their dedication to security before implementing a smart contract due to the irrevocable nature of blockchain technology. CertiK was also approached by the creators of Merlin, a decentralized exchange built on the zkSync Layer 2 blockchain.

CertiK has offered a 20% reward (equivalent to around $400,000) for the restitution of the stolen monies and has said that it intends to work with law authorities to hunt down the rogue coders responsible for the fraud.

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