Tech

SushiSwap to compensate exploit victims, can this bring back users

04/26/2023
Bitcoin Ethereum News


  • As per SushiSwap’s post-mortem report, more than $750k of whitehacked funds were rescued.
  • There were signs of recovery for the DEX as the number of users increased by 27% over the last week. 

Decentralized exchange (DEX) Sushiswap [SUSHI] confronted several challenges over the last few months. After getting served with a subpoena by the United States Securities and Exchange Commission (SEC), the protocol was hit by an exploit which resulted in the theft of $3.3 million worth of funds.

Realistic or not, here’s SUSHI market cap in BTC’s terms

Since the hack, the native token SUSHI dropped 4.5% as of this writing, data from CoinMarketCap showed. However, things seem to be getting back on track as the DEX launched a claims portal, allowing victims of the exploit to claim their lost funds.

 

How will users be compensated?

There were two categories of impacted users. Hence, there would be two ways by which these users can request their money back.

As per the newly launched RouteProcessor2 claim portal, only users whose funds were siphoned off in a white hat exploit will have the opportunity to reclaim their tokens. As per SushiSwap’s post-mortem report, more than $750k of whitehacked funds were rescued as of this writing.

On a 1:1 basis, these users will be given the chance to recover their tokens. Before the process of token reclamation begins, the claims site will verify whether each user has disabled the vulnerable router.

On the other hand, users who were blackhacked, won’t see any claims under the new portal.

Rather, a separate claim process will be put in place for this group which requires consent and claim evaluation on an individual basis. Users in this group will have to fill up a Google Form with all the necessary information to initiate this process.

Early signs of recovery

The measures taken by SushiSwap to neutralize the impact of the hack has started to yield results. The number of active users reached 9.82k as of 25 April, marking a weekly jump of over 27%.

How much are 1,10,100 SUSHIs worth today?

However, the worth of assets locked (TVL) on the protocol fell to $573 million, a significant drop of 10% over the last week.

SUSHI’s demand on the futures market also dipped, evidenced by a 5% weekly decline in Open Interest. It fell to $35.87 million at the time of writing. However, the OI recorded marginal gains of 0.34% over the last 24 hours.

Source: Coinglass

Source: https://ambcrypto.com/sushiswap-to-compensate-exploit-victims-can-this-bring-back-users/