Bitcoin decentralized finance (DeFi) platform ALEX Protocol has just lately suffered an assault, dropping $8.3 million in person funds. This represents the second exploit of the Stacks-based undertaking in simply over a yr following a earlier heist by the infamous North Korean Lazarus hackers group from North Korea.
ALEX Protocol Falls Sufferer To Self-Itemizing Verification Flaw
In an X publish on June 6, the event crew behind the ALEX Protocol introduced the DeFi undertaking skilled an exploit as a result of a vulnerability in its self-listing verification logic i.e. a safety mechanism meant to stop unauthorized asset listings. A failure is that this safety system may probably permit unhealthy actors to introduce malicious, unauthorized or faux property to the ALEX protocol which might be exchanged for professional property. By slipping previous the self-verification logic, hackers have been in a position to drain a number of asset swimming pools making away with 8,403,867.57 Stacks (STX), valued at $5,691,255.93, 21.85 sBTC ($2,244,751.87), 149,850 USDC/USDT ($149,850), and a couple of.80 WBTC ($287,369.33) resulting in a complete haul of $8,373,227.13.
ALEX Protocol Publicizes Compensation Plan
Following this current cyber assault, the builders behind ALEX Protocol has pledged to cowl all person losses utilizing the ALEX Lab Basis Treasury. All compensation will probably be paid in USDC and based mostly on the typical on-chain change worth of the stolen property on the time of the exploit between 10:00 UTC – 14:00 UTC on June 6,2025. By 23:59 UTC on June 8, all affected wallets ought to have acquired a personal on-chain notification alongside a declare type. The claimants are anticipated to fill the shape which ought to embody a receiving pockets tackle earlier than continuing to submit forward of the deadline on June 10 by 23:59 UTC. The ALEX Protocol administration crew additional states that each one affected wallets ought to count on a full compensation inside seven days after the submitted type is verified. It’s value stating that each one victims with questions or those that fail to obtain notification e mail earlier than specified deadline are suggested to succeed in out by way of the e-mail said within the announcement. The ALEX Protocol is constructed on the Bitcoin community utilizing the Stacks blockchain. It’s a standard DeFi platform providing a spread of providers, together with lending, borrowing, and buying and selling. Moreover, ALEX helps cross-chain bridges, enabling customers to switch property seamlessly from different networks similar to Ethereum and BNB Sensible Chain.As earlier said, the DeFi undertaking had suffered a earlier exploit in Might 2024 when the Lazarus group withdrew $4.5 million via the platform’s bridge on the BNB Sensible Chain Community.Â
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