Alex Protocol (a Bitcoin-based decentralized financial platform) on the Stacks chain suffered an attack on June 6 that led to digital assets losses of $8.3million.
In the X announcementAlex Protocol explained that this breach occurred due to an insecurity within its logic for self-listing. The flaw was used by the attacker to drain liquid from multiple asset pools.
Bitcoin DeFi said that the attackers stole approximately 8.4 million Stacks.STX) tokens, 21.85 Stacks Bitcoin (sBTC), 149,850 in USDC (USDCUSDt (USDTWrapped Bitcoins (2.8)WBTC). This is the biggest exploit in Stacks’ ecosystem.
Alex Lab Foundation – the group that supports the protocol – has promised to reimburse the affected users in full using the treasury reserve.
Cointelegraph contacted Alex Protocol on its X page but received no response at the time of publishing.
Alex Protocol reimburses affected users after exploit
Alex Lab says that the compensation will be in USDC. It will calculate the reimbursement based on the onchain average rates from 10:00 am to 2:00 pm on the date of attack.
Alex Lab has said that wallets which have been affected will receive a notification from onchain by 8 June, including a claim form. By June 10, users must send the form, along with an address for a wallet that will receive it.
Within seven days, the team will confirm all submitted claims. The team urged users who did not receive the form to email them.
The team didn’t reveal the technical methods behind the exploit. However, it will release a “post-mortem” report.
Related: Bybit reveals security overhaul in response to $1.4B hack
Alex Protocol hacked in May of 2024
Alex Protocol lost millions of dollars in previous security incidents. The DeFi platform was exploited in May 2024 involving the crosschain infrastructure. This incident resulted in the unauthorised withdrawal of $4.3 million You can buy crypto on the platform.
DeFi Protocol said that the May exploit is likely linked to the North Korean cybercrime group Lazarus. The team indicated three wallets that were used during the attack, and stated they had worked closely with ZachXBT (a blockchain expert) to find the stolen assets.
Magazine: China to ban owning Bitcoin? Gate.io to pay $30M over liquidations: Asia Express
“This article is not financial advice.”
“Always do your own research before making any type of investment.”
“ItsDailyCrypto is not responsible for any activities you perform outside ItsDailyCrypto.”
Source: cointelegraph.com
