The Security Alliance (SEAL) developed a Safe Harbor plan that is revolutionizing the way the crypto sector handles hacks and issues. SEAL announced that 29 large crypto organizations signed its Safe Harbor Agreement on October 1, 2025. This framework provides legal coverage to White Hat Hackers who intervene in real-time utilities and have already secured over $ 25 billion.
The port security agreement offers immunity to ethical hackers, also known as white hats, when they act to recover funds during an attack. Historically, the hackers hesitated to intervene due to legal risks. This hesitation allows criminals to escape with stolen funds. This new framework removes the uncertainty and creates a clear rulebook for intervention.
White hats are required to return the rescued funds within 72 hours to official recovery addresses. In exchange, they are entitled to a bounty of 10% of the recovered funds, with a cap of $1 million per incident. To maintain that compliance, bounty hunters must complete Know Your Customer (KYC) and OFAC checks before payouts are made.
The project has already taken root within the Web3 community. Safe Harbor is backed by many of the 29 significant companies endorsing the initiative, including Uniswap, Polymarket, a16z Crypto, Paradigm, and the law firm Piper Alderman. Security platform Immunefi, a leader in bug bounty programs, reported that Safe Harbor’s adoption has helped 30 white hat hackers become millionaires. Additionally, Immunefi assured that the initiative helped transfer over $120 million to ethical hackers.
This adoption represents a key move into collective defense within the world of cryptocurrency. Instead of fragmented responses to attacks, projects now operate through a coordinated system. The co-heads of the SEAL, Dickson Wu and Robert MacWha, noted that Safe Harbor represents a “unified defense strategy” that is meant to enhance trust across DeFi and Web3.
The framework was shaped by incidents like the Nomad bridge hack in August 2022, when $190 million was stolen. White hats were reluctant to move then because legal safeguards were not clear. The Safe Harbor Agreement now ensures that hesitation doesn’t make the community lose billions.
This initiative demonstrates that encryption is maturing. By formalizing protections for ethical hackers, the industry demonstrates that it can self-regulate and enhance security without relying on government intervention. Analysts see this as a trusted impulse for investors and users. It also aligns with broader regulatory movements, such as the European Union’s mica structure and new US state -level accounts.
The Safe Harbor initiative of the SEAL represents a significant step toward securing digital assets. By saving more than $25 billion, the power of collaboration and ethical hacking came to light. As hacks increasingly involve complexity, Safe Harbor-type systems could be crucial to securing Web3 — and a valuable resource to building lasting trust in crypto.
