Alex Protocol Launches Treasury Grant After $8.3M Hack

• The users who are impacted by the loss can associate their affected wallet with the official grant interface.
• An earlier update mentioned that payout amounts depend on average on-chain prices observed from 10:00 am to 2:00 pm UTC at the time of the incident

A DeFi platform on the BTC Network, Alex Protocol, has introduced a Treasury Grant Program to reimburse users impacted by the latest hack that led to more than $8 million in losses

On June 8, the platform’s announcement mentioned that the program will offer financial backing via a combination of actual tokens and USDC equivalents, which depends on which type of asset is lost

The users who are impacted by the loss can associate their affected wallet to the official grant interface, review their particular compensation offer, and sign an authentication message to accept the terms and conditions

On June 6, Alex Protocol was hacked, which targeted various liquidity pools on the platform. The platform verified that the hackers attacked a vulnerability in its registration verification logic, permitting them to drain around 8.4 million STX, 21.85 sBTC, 149,850 aUSD, and 2.8 aBTC. The exploit led to the losses totalling more than $8.3 million

Any in-depth report concerning the exploit has still not been published by Alex Lab. However, one community member predicts that the issue may emerge from a Stacks limitation

An earlier update mentioned that payout amounts depend on average on-chain prices observed from 10:00 am to 2:00 pm UTC at the time of the incident. On June 8, the notification regarding claim instructions was sent to the addresses that were impacted by the event

The Reimbursement Structure

Adding more to this, the reimbursement structure contains complete USDC compensation for STX holdings at a fixed exchange rate of 0.68 USDC per STX

Users losing sBTC and aBTC will get 100% and 75% reimbursement in aBTC and the remaining 25% in USDC. The reimbursement is calculated at a rate of 102,734 USDC per aBTC

The users losing aUSD, 91% will be returned in aUSD, and 9% will be returned in USDC at parity Till June 17, all the support payments will be given to eligible Ethereum addresses

Users must get the grants via a deadline that will be sent through official channels.

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