GMX has closed its ~ $ 44 million compensation plan for GMX -Liquidity provider holders on arbitrum affected by the V1 vulnerability of July.
Summary
- GMX completed a compensation plan of ~ $ 44 million GLP Holder after the V1 exploit of July.
- Payments were in GLV -Tokens with Dao Treasury Support and Retention Incentives.
- GMX V2 remained unaffected and continues to see strong trading activities.
The update was shared on X by GMX (GMX) on 13 August after the final distribution round of the protocol. The platform reimbursed the affected portfolios completely and offered incentives to retain distributed funds.
Distribution completes the recovery from July Exploit
The exploit, detected on July 9, was aimed at a reenting error in the GMX V1 GLP pool. This enabled an attacker to manipulate short average prices for Bitcoin (BTC) and to remove around $ 42 million in assets.
GMX stopped GLP trade, mining and repayment on Arbitrum (ARB) and Avalanche (AVAX), later negotiating the return of ~ $ 37.5 million under a with-hat Bounty scheme. The attacker retained around $ 5 million.
The completed plan, approved via a community -snapshot -mood, distributed GLV or GMX Liquidity gusts, eligible GLP holders. As with the pre-exploit composition of GLP, these safes contain around 25% packed Bitcoin (WBTC), 25% Ethereum (ETH) and 50% Stablecoins.
The GMX DAO provided $ 500,000 in retention stimuli to holders who held GLV for three months, while he also used his treasury to cover a shortage of $ 2 million. GLP in the hands of the White-Hat, which represents 29% of the offer, was burned to restore the proportional value.
GMX V2 remains unaffected
GMX V2, which was not influenced by the incident, has retained rising volumes and liquidity since the exploit. The DAO is working on tailor -made recovery solutions for decentralized financial protocols that GLP integrated, with GLP repayments that are expected to resume within about 10 days.
The exploit ensured that the token price of GMX fell by a maximum of 28% before it partially recovered. The total locked value fell from $ 480 million to $ 409 million, but has been found strongly to more than $ 600 million from the moment of the press. With V1 paused and ready for the final sunset, the Focus from GMX completely shifts to its V2 infrastructure.
