The beginning of my journey in the cryptocurrency world began by serendipity, back in 2011, when I first experimented bitcoin mining using my MacBook.
My interest in cryptocurrency really began to grow much later. Nirvana is my first crypto project. I was inspired to create it by DeFi and Olympus DAO. My team recognized the potential of refining their model in order to make it more attractive to investors.
Unfortunately, during the week of our audit process, we were breached by a bad actor — a rogue security engineer named Shakeeb Ahmed, as we would later find out. Ahmed, who returned the funds to his bank account and received a three-year prison sentence for it, had to endure a hellish journey to get to that point.
Not only did the incident shake our team but also the community as a whole. Even after the terrifying experience of the hack and the lengthy process to obtain justice, I chose to continue working in crypto.
It was an amazing experience, personally and professionally. The outcome is a testimony to collaboration, persistence and justice. My first crypto project suffered from hardships, but I chose to remain in the industry to try and make a difference.
A $3.5 million hack — and its resolution
As the tale unfolded it became clearer and clearer how important unity and transparency are in the cryptocommunity.
We were able to unravel the hack’s complexities through collective effort and unwavering determination. This also helped justice prevail. Although the wounds may remain, I am encouraged by the DeFi Community’s resilience, which reaffirms the commitment of my own to innovate with caution.
Outreach was the first step in reaching a resolution. After the hack we sought out guidance from projects that had experienced similar issues. Crema and Beansprout were among those who shared their invaluable insight on how best to handle the fallout. We connected with TRM through Crema’s recommendation, an entity that is well-known in the cyber security realm. Our efforts encountered numerous obstacles. Our efforts were hampered by numerous obstacles.
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In the midst of frustration, there was a small ray hope. In October 2023 a Homeland Security investigator reached out and offered the possibility of cooperating in a ongoing investigation. We were eager to share all relevant details, and even insights gained from our interaction with the hacker. This collaboration was fruitful when HSI revealed information about the other protocol that had been involved in the hack. Our stories were further interwoven.
It was a long road to justice. Our cooperation strengthened SDNY’s case and allowed them to take legal actions that set precedents against the perpetrator. “code is not law.” After months of exchanging meticulous information with HSI investigators, IRS agents, and SDNY officers, the law enforcement agency was able, in the end to identify the hacker.
The journey that I have taken
While growing up in several cities of the Northeast I have always had a wanderlust. My journey through life, in both the USA and in my time overseas in Bali and Thailand, has kept one thing consistent — my passion for entrepreneurship.
After the Nirvana Hack, my belief that I should grow my crypto career didn’t diminish. In fact the hack tripled my confidence that this was the industry I wanted to pursue. After the hack, I thought about asset security and risk management every day. This was my primary motivation for obvious reasons. This led me to a new venture that focuses on risk management for DeFi.
As I travel on, I’m constantly reminded about the adaptability and resilience inherent to the entrepreneurial mindset. Every challenge offers an opportunity to grow, and each setback gives you the chance to come out stronger.
In the realm of DeFi, collaboration is not merely a choice but a necessity — a testament to our shared responsibility in safeguarding the integrity of the ecosystem. As we navigate the ever-evolving landscape of DeFi, let the lessons learned from the Nirvana Finance protocol hack serve as a testament to not only the indomitable spirit of innovation, resilience and cooperation — but to the fact that we need to bring risk down in crypto in every way.
Alex Hoffman, Head of Ecosystem for Superposition Finance. Superposition Finance is transforming DeFi through robust risk-management powered by Concordia’s best-in class risk engine.
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