​​Decentralized IDO platform Poolz takes swift action to strengthen security following exploit

Initial DEX Offering (IDO) platform Poolz has made public the steps it has taken to lessen the impact of a recent security breach that occurred on its platform after prompt action taken by its team limited the extent of the damage and avoided the spread of contagion.

Notably, a hacker was successful on March 15 in compromising the token contract used in the POOLZ vesting system for $390,000 as tokens intended for public buyers were stolen and put up for sale. 

In the Face of Adversity, the Poolz team promptly reacted, and within two hours, the token was removed from circulation and could no longer be traded thanks to the incident plan put in place to manage the issue, according to information on the response shared with Finbold on March 16.

Hackers addressed flagged

What’s more, just a few hours after the breach, Poolz was successful in getting the address of the hacker flagged on the most prominent blockchain explorers. To further ensure the safety of the users, the team eliminated all leftover liquidity from Uniswap and PancakeSwap.

Then, that same day, Poolz kicked up the process of developing a whole new token for its network called POOLZ, which Certik, ArcadiaGroup, and ChainPort are all now actively conducting an audit of the token.

Fundraiser raises $600,000 to build more robust platform

Immediately after the incident, a fundraiser drive was initiated was launched to aid Poolz’s initiatives. The goal of $600,000 to build stronger foundations was met in less than 12 hours to bolster the security of the platform for the benefit of all users.

Poolz Founder Liam Cohen stated:

“We’re proud of our team’s swift and effective response to the cyber attack on our platform. Our top priority is our community, and we’re committed to providing them with a secure and reliable platform for decentralized finance.”

He added:

“Despite this setback, we’ll come out stronger with our new token, POOLX, which is currently undergoing an audit. Our treasury is unaffected, and we remain financially stable. We’re dedicated to our community and DeFi and we thank you for your support.”

After the deployment of a new contract for the POOLX token, holders of POOLZ will be compensated with the new POOLX token on a 1:1 basis, and new liquidity pools will be formed based on the token exchange rate that existed before the hack.

In addition, as part of the distribution of POOLX, Poolz is now working on building a compensation plan for its community.