NEMO Protocol, the SUI-based Defi platform that was recently operated for $ 2.6 million, has announced a compensation program that will reimburse affected users.
Summary
- NEMO Protocol has unveiled a recovery plan with three steps after the $ 2.6 million exploit.
- A new debt smoking, $ neom, is issued 1: 1 with loss of users registered at the time of the hack.
- Victims can migrate assets, claim $ neom and sell tokens on a sui dex or hold for recovery.
- Funds that are found from the attacker and external capital will feed on a repayment pool managed by several parties.
As part of continuous efforts to reimburse victims, the NEMO protocol team has unveiled a recovery path with three steps. The plan is aimed at creating and deploying a new debt smoke called Neom.
What is the NEMO Protocol Neom Token Initiative?
Although direct reimbursement in Stablecoins would have been the preferred option, Nemo Protocol was admitted in a September 14 rack That it currently does not have the capital to make victims completely completely.
Instead, NEOM tokens are published on one on one with the dollar value of the loss of each user, based on the snapshot that was made when the protocol was paused. According to the team, this system is designed to guarantee honesty and transparency, while users give flexibility in how they restore their funds.
The program starts with an assets claim and the migration process. Users affected by the hack can first migrate their remaining assets into new, multi-cleared smart contracts. At the same time, they receive $ neom tokens that are equivalent to their total loss amount. From there they can choose between the sale of the tokens immediately by a sui -based liquidity pool or holding them while the team works to inject value into the repayment pool over time.
All funds found from the attacker go to this pool, in addition to part of the external capital that is guaranteed by the team or protected loans. To keep the progress visible, NEMO will offer biweekly updates and launch a public dashboard to follow repayments and token burns in real time.
To offer victims of immediate liquidity, Nemo will sow a NEOM/USDC trading savings on a sui-based decentralized exchange. This means that users who do not want to wait for long -term recovery can sell their tokens on the open market, while those who are willing to keep can benefit from any future recovery from assets.
How the nemo protocolhack took place
The exploit of 8 September has deposited $ 2.6 million from Nemo’s liquidity pools. The Post-Mortem followed the infringement of a non-weuditated code that was used by a developer who introduced critical vulnerabilities. A public flash loan function, combined with a poor price mechanism, gave the attacker a way to manipulate pole balances and siphon funds.
The stolen assets, mostly stablecoins, were later bridged to Ethereum. The incident, which marked the second exploit to hit the SII network this year after the Cetus -Hack of May, ensured that Nemo’s TVL collapsed from more than $ 6 million to around $ 1.5 million in an issue of hours.
NEMO has since admitted that they have failures in his audit process and internal checks. The team has promised stricter supervision for code -upgrades, multiple external audits and stronger bug -bounty programs to improve security ahead.
The launch of the Neom -Token is now the central part of his recovery plan. Whether it is recovering from affected users depends on how effectively the protocol can reclaim stolen assets and support the demand for debt smoking.
