‘Orbit Bridge Exploit’ Asset Recovery and Ecosystem Normalization Plan (Draft)

Hello Orbit Chain community. This is Ozys, the developer of the Orbit Bridge service.

Aside from efforts to freeze and recover exploited assets, Ozys is preparing to implement a plan for asset recovery and Orbit ecosystem normalization. Today we would like to disclose the “Asset Recovery and Ecosystem Normalization plan(Draft)” we have created after an extensive discussion, and explain the direction we are heading in.

A complete recovery from the most recent exploit using our own resources in accordance with our previous recovery case, realistically speaking, is limited. Nevertheless, as a developer, we are making every effort for the complete normalization of the Orbit ecosystem.

The stolen types of assets are ETH, WBTC, USDT, USDC, DAI, totaling approximately $82M at the time of the theft. Due to their volatility, ETH and WBTC are the priority assets for recovery.

To note, the exploit occurred on the Ethereum Vault of Orbit Bridge. Apart from the aforementioned assets, BNB, Ripple, TON, WEMIX, etc which are from other vaults are not affected. Ultimately, the exploit did not involve the theft of validator keys.

However, to allay any concerns and enhance security, Ozys and validators in a joint effort are currently in the process of replacing private keys. As a result, assets in those vaults will be able to be traded at normal exchange rates once the service is relaunched.

We will now disclose how we plan to recover the stolen assets from the Ethereum Vault and restore the ecosystem.

The process of “stolen asset recovery” involves raising resources in order to secure the same quantity of stolen assets (ETH, WBTC, USDC, USDT, DAI) and returning them to the Orbit Bridge Ethereum vault. In order to secure the maximum amount of resources, Ozys has been utilizing its technology, capital, and future business potential.

When the total exploited assets are broken down into (A) Recovery Asset, (B) Priority Recovery Asset, and (C)Long-Term Support Asset, we believe that the smaller the (B) Priority Recovery Asset is, the faster the Orbit ecosystem will normalize. Thus, we are currently focusing on expanding the scale of (A) Recovery Asset and (C) Long-Term Support Asset.

In our previous community announcement, we stated that restoring “user assets” was our top priority and that our holdings would be utilized to recover Orbit Bridge until all assets have been restored.

(A) Recovery Asset includes resources that can be raised through following, which includes Ozys’ o-assets and grant from partners, as well as funds raised through the sale of certain business units, technology transfer & service development fee, and investment raised through ‘New Business’.

(C) Long-Term Support Asset, includes voluntary long-term lock-up assets as well as friendly assets from partners who have expressed their willingness to restore the Orbit ecosystem.

Diverse incentives are to be provided both to our partners for their support and voluntary participants for locking-up their assets. To be more specific, benefits resulting from the ‘New Business’ pursued by Ozys will be allocated with priority for lock-up participants, and further contents for those participants will be provided.

The vision and direction of the ‘New Business’ will be revealed next week, and the upside generated from this business opportunity will also be used to normalize the Orbit ecosystem. We kindly ask for your generous support in our new endeavor.

With this plan, we estimate that we will be able to raise resources of (A) $40M + (B) $21M + (C) $21M. Upon securing the (A) and (C)assets to the extent possible, and once the root cause of the exploit is identified and system repair is complete, Orbit Bridge service can then be relaunched.

For (B) Priority Recovery Asset, we plan to utilize profit generated from both existing services and the ‘New Business’ towards the recovery. Within two years, we expect Orbit ecosystem to be completely restored.

Our sincere apologies are once more extended for the inconvenience and hardship brought about by the Orbit Bridge exploit, and we will continue to make use of all the resources we have available to restore the Orbit ecosystem.

Thank you.