Cypher Crypto Platform Unveils Recovery Plan Following $1 Million Exploit
Summary:
Cypher, a crypto trading platform, has published a recovery plan after a $1 million exploit. The plan involves distributing losses across the platform and raising funds through an initial DEX offering (IDO). Users will receive debt tokens and have the right to future profits. The platform aims to prioritize repaying impacted users and conduct audits to address vulnerabilities before resuming operations. Efforts will be made to recover frozen funds through exchanges or law enforcement assistance.
Cypher, a crypto trading platform, has released a plan to recover from a recent $1 million exploit by distributing losses across the platform. The initial stage involves providing a pro rata redemption package of current assets to users, although the platform lacks sufficient funds to reimburse all depositors individually. In the second stage, the protocol will raise funds through an initial DEX offering (IDO) to pay for audits and further development. Users will receive a debt token representing the remaining assets owed to them, granting them the right to future USD Coin (USDC) profits generated by Cypher. The platform aims to prioritize the repayment of funds to impacted users, followed by engaging auditors for public audits on the patched version of Cypher to address any potential vulnerabilities. The app's smart contracts will remain frozen during the evaluation process. The cause of the $1 million exploit that occurred on August 8 is still unknown, but efforts will be made to recover the frozen funds through cooperation with exchanges or law enforcement seizure warrants.
Published At
8/23/2023 8:59:56 PM
Disclaimer: Algoine does not endorse any content or product on this page. Readers should conduct their own research before taking any actions related to the asset, company, or any information in this article and assume full responsibility for their decisions. This article should not be considered as investment advice. Our news is prepared with AI support.
Do you suspect this content may be misleading, incomplete, or inappropriate in any way, requiring modification or removal?
We appreciate your report.