A Canadian national has been charged in connection with two major DeFi exploits that drained $65 million from KyberSwap and Indexed Finance. The U.S. Justice Department unsealed the indictment on Feb. 3, accusing Andean Medjedovic of hacking, fraud, and money laundering. Prosecutors allege he manipulated smart contracts to deceive trading algorithms and withdraw investor funds at artificial prices.

According to the Brooklyn U.S. Attorney’s office, Medjedovic remains at large. Authorities claim he stole $16.5 million from Indexed Finance in October 2021 before executing a similar attack on KyberSwap in November 2023, siphoning $48.8 million.

Court documents detail how Medjedovic allegedly borrowed massive amounts of digital tokens to manipulate liquidity pools, causing the smart contracts to miscalculate key financial metrics. This allowed him to withdraw millions, rendering victims' investments worthless. Prosecutors also accuse him of attempting to extort KyberSwap’s victims, sending on-chain messages demanding control over the protocol in exchange for returning 50% of the stolen assets.

To launder the funds, Medjedovic reportedly conspired with a relative, using crypto mixers and blockchain bridges to obscure the transactions. He allegedly sought to convert the stolen funds into fiat through bank accounts created with fake identities. When an unnamed bridge froze some of his assets, he purportedly paid $85,000 to an undercover agent posing as a software developer to recover the funds.

Authorities have not disclosed Medjedovic’s legal representation, and he could not be reached for comment. With the suspect still at large, the case raises urgent concerns about the security of DeFi protocols and the growing sophistication of crypto-related financial crimes.