Crypto Flexs
  • DIRECTORY
  • CRYPTO
    • ETHEREUM
    • BITCOIN
    • ALTCOIN
  • BLOCKCHAIN
  • EXCHANGE
  • TRADING
  • HACKING
  • SLOT
  • CASINO
  • SUBMIT
Crypto Flexs
  • DIRECTORY
  • CRYPTO
    • ETHEREUM
    • BITCOIN
    • ALTCOIN
  • BLOCKCHAIN
  • EXCHANGE
  • TRADING
  • HACKING
  • SLOT
  • CASINO
  • SUBMIT
Crypto Flexs
Home»ADOPTION NEWS»KyberSwap’s response to $48.8 million hack: Halve workforce and plan to compensate victims
ADOPTION NEWS

KyberSwap’s response to $48.8 million hack: Halve workforce and plan to compensate victims

By Crypto FlexsDecember 27, 20233 Mins Read
Facebook Twitter Pinterest LinkedIn Tumblr Email
KyberSwap’s response to .8 million hack: Halve workforce and plan to compensate victims
Share
Facebook Twitter LinkedIn Pinterest Email

The decentralized finance sector suffered a major setback in November 2023 when DeFi protocol KyberSwap suffered a massive hack. The aftermath of this security breach had far-reaching consequences, including a drastic decline in the platform’s workforce and impacted support efforts. user.

On November 22, 2023, KyberSwap experienced a serious security exploit, resulting in approximately $48.8 million in losses from its Elastic liquidity pool. Dubbed the KyberSwap Elastic exploit, the incident occurred at 10:54:09 PM UTC, marking a significant moment for the DeFi landscape. Hackers exploited vulnerabilities in KyberSwap’s Elastic protocol, leading to unauthorized and exploitable swaps.

In response to this financial hit, Kyber Network CEO Victor Tran announced the unfortunate but necessary decision to reduce its workforce by 50%. The move aims to keep the company’s business operations sustainable despite the financial losses incurred. Despite the difficult decision, Kyber Network emphasizes that its core business functionality, including KyberSwap’s Aggregator and Limit Order capabilities, remains intact. However, some plans, such as Liquidity Protocol and KyberAI projects, have been temporarily halted​​​​.

Kyber Network has launched a financial grant program to support users affected by the hack. The program, which launched on December 20, 2023, plans to distribute refunds in US dollar stablecoins by February 1, 2024. Affected users must register for this refund between January 11 and January 23, 2024. The total baseline value of the losses amounts to nearly $49 million, but users will only receive 60% of this value, reflecting the financial constraints faced by the platform. In the aftermath of the first exploit, an additional $6.6 million was stolen from the lead bot.

In a series of events, the Kyber team attempted to negotiate a bounty deal with the hackers. But the hackers’ demands were extreme. He sought complete control of Kyber Network, including all assets and its governance mechanism, KyberDAO. The Kyber team was not pleased with the hacker’s intention to buy the company at fair value.

DeFi expert Doug Colkitt characterized the exploit as an “infinite money flaw,” a complex and carefully designed smart contract exploit that spanned multiple networks implementing KyberSwap pools. Affected networks include Avalanche; polygonEthereum and layer 2 networks such as Arbitrum, Optimism, and Base.

In summary, KyberSwap’s proactive actions to address the aftermath of the hack, including workforce reductions and compensation plans for affected users, demonstrate the challenges and resilience inherent in the DeFi sector. This incident highlights the importance of robust security measures and the need for constant vigilance in the evolving decentralized finance environment.

Image source: Shutterstock

Share. Facebook Twitter Pinterest LinkedIn Tumblr Email

Related Posts

Bitcoin Treasury Firm Strive adds an industry veterans and starts a new $ 950 million capital initiative.

September 16, 2025

The best Solana depin project to form the future -Part 2

September 8, 2025

Ether Lee (ETH) tests major support for $ 4,453 after the highest rejection.

August 31, 2025
Add A Comment

Comments are closed.

Recent Posts

New Cryptocurrency Mutuum Finance (MUTM) Raises $15.8M As Phase 6 Reaches 40%

September 16, 2025

How XRP Enthusiasts Can Earn $15k/Day

September 16, 2025

Bringing 1R0R To R0AR Chain Unlocks New Incentives

September 16, 2025

As the Air drop recipient is sold, the infinite price is 46% conflict after Binance listing.

September 16, 2025

Vulnerability or orbit again? BTC has a line at $ 115K

September 16, 2025

Bitcoin Treasury Firm Strive adds an industry veterans and starts a new $ 950 million capital initiative.

September 16, 2025

France can break the EU password market with ‘atomic weapons’.

September 15, 2025

Cardano (ADA) Signal Recovery -Is there a strong rise?

September 15, 2025

BitMine Immersion (BMNR) Announces Crypto And Cash Holdings Of $10.8 Billion, ETH Holdings Exceeding 2.151 Million

September 15, 2025

How SWLMiner Could Help You Get The IPhone 17 Air

September 15, 2025

Metabuses are increasing again -Records in August +13k NFT users

September 15, 2025

Crypto Flexs is a Professional Cryptocurrency News Platform. Here we will provide you only interesting content, which you will like very much. We’re dedicated to providing you the best of Cryptocurrency. We hope you enjoy our Cryptocurrency News as much as we enjoy offering them to you.

Contact Us : Partner(@)Cryptoflexs.com

Top Insights

New Cryptocurrency Mutuum Finance (MUTM) Raises $15.8M As Phase 6 Reaches 40%

September 16, 2025

How XRP Enthusiasts Can Earn $15k/Day

September 16, 2025

Bringing 1R0R To R0AR Chain Unlocks New Incentives

September 16, 2025
Most Popular

Best Cryptocurrencies to Buy Now March 12 – Dechat, Manta Network, Avalanche

March 13, 2024

BONK’s Rapid Rise: 621% Surge, Surpasses PEPE and Ranks 3rd in Meme Coin Market

December 17, 2023

Hydration unveils decentralized lending platform on Polkadot

November 29, 2024
  • Home
  • About Us
  • Contact Us
  • Disclaimer
  • Privacy Policy
  • Terms and Conditions
© 2025 Crypto Flexs

Type above and press Enter to search. Press Esc to cancel.