Depending on how it was done, Cash apps can and likely will be hacked at some point. I’ve never used a cash app (besides PayPal), but most if not all require passwords or some sort of 2 Factor Authentication (known as 2FA). It was incredibly likely that your daughter’s password was discovered on a paste, which is a file that was created using Pastebin, which is thrown out into the public.
If someone discovered an e-mail and password list, that is considered a breach. They likely snatched up a random password, which happened to be your daughters, and got bumped by 2FA. They likely got to her via scam e-mails or text messages, informing them that there was a security breach and asks for a code to ensure it’s valid — if you run into this, do not ever give them the code. If Cash App/PayPal/others communicate to you with a code and then asks for that same code, it’s a scam.
She followed through with it, losing money and wasting time. You could attempt to reach out to Cash App/PayPal and request a double check, telling them that she was scammed, and provide evidence towards it.
If the third party redirected it to their account, they can be banned and money reinstated. If they choose to ignore or deny it (can happen), that money is lost likely forever.
Better for a chance than giving up.