KyberSwap’s Treasury Funds to Support Users:
KyberSwap is launching a grant initiative to support the victims of the hack.
The security breach originated from KyberSwap’s concentrated liquidity pools.
Total losses are estimated at around $48.8 million.
Grants for Hack Victims
On the night of November 22nd, decentralized protocol KyberSwap experienced a major hack, resulting in a loss of $48.8 million.
In response, KyberSwap has introduced a grant initiative to compensate users affected by this incident. This grant, equivalent to the USD value of the lost assets during the hack, aims to alleviate the financial losses of the impacted individuals and will be deducted from the protocol’s treasury.
This gesture underscores KyberSwap’s commitment to its user community and platform security. The specific details and criteria for this grant are currently being finalized.
Responses and Security Measures
After a thorough analysis of the hack, it was discovered that the vulnerability stemmed from the “tick interval boundaries” in KyberSwap’s liquidity pools. This would have allowed the attacker to artificially manipulate liquidity.
Recently, KyberSwap offered a 10% reward to the hacker in an attempt to recover its funds but received “unconventional demands” in return. However, KyberSwap managed to retrieve $4.7 million of the stolen funds, separately taken by third-party MEV bots during the hack.
The incident has also prompted a comprehensive review of KyberSwap’s security protocols, with the team committed to strengthening protective measures to prevent future exploits.
