GMX announced the handling process after the vulnerability attack on Arbitrum worth up to 42 million USD.
After successful negotiations, all GLP funds on Arbitrum have been recovered and are now held by the DAO for redistribution to liquidity providers in the Arbitrum GLP vault.
MAIN CONTENT
GMX confirms the remediation process of the V1 vulnerability attack on Arbitrum.
The 42 million USD GLP has been fully refunded after negotiations.
The funds are being held by the DAO for distribution to Arbitrum GLP liquidity providers.
How did GMX handle the vulnerability attack on Arbitrum?
GMX CEO confirms the recovery of 42 million USD GLP after a successful attack, demonstrating the project's responsiveness and transparency.
On July 16, 2023, GMX announced that they had completed negotiations with stakeholders to recover all funds that were attacked on the Arbitrum network. This not only protects investors' assets but also reinforces trust in the cryptocurrency community.
“We have worked closely with parties to ensure that all GLP assets are returned and are now under the management of the DAO, ready for redistribution to liquidity providers.”
GMX CEO, statement July 2023
How much was lost in the Arbitrum vulnerability attack and where is that money now?
42 million USD GLP has been recovered and is currently held in the DAO treasury, ready for redistribution.
This is one of the largest value attacks on Layer 2 Arbitrum. After negotiations, GMX and partners fully recovered the GLP Tokens, which are now safely held in the DAO system to ensure the rights of liquidity providers.
What is the role of the DAO in handling GLP funds?
The DAO plays a crucial role in receiving and managing GLP funds after recovery, ensuring that capital is distributed properly and transparently to Arbitrum GLP vault liquidity providers.
The DAO's direct holding and distribution of these funds demonstrates decentralization, while enhancing transparency and accountability in community asset management.
“The DAO is a reliable management channel that helps safely distribute capital to the liquidity community, reflecting collective consciousness in project governance.”
DeFi expert, report July 2023
What is the impact of recovering GLP funds on the community and the cryptocurrency market?
The recovery of all lost funds contributes to enhanced trust and stability in the cryptocurrency market in general and Layer 2 Arbitrum in particular.
Maintaining investor trust is a key factor for DeFi projects to develop sustainably. GMX, with its rapid and transparent announcement, has reinforced its position in the DeFi ecosystem as a whole.
Market analysis related to
Project/Time Attack Value (million USD) Response Current Status GMX on Arbitrum (07/2023) 42 Negotiation & fast recovery The entire amount is managed by the DAO, preparing for distribution Other project (2022) 30 Not fully recovered Some funds lost permanently Layer 2 project (2021) 15 Partially recovered In process of redistribution
Frequently Asked Questions
How much money did GMX lose after the attack on Arbitrum?
About 42 million USD GLP was affected and fully recovered after negotiations.
How is the attacked GLP fund currently managed?
The entire amount is being held by the DAO and is preparing to be redistributed to liquidity providers.
How does this recovery affect the cryptocurrency community?
Helps reinforce trust and create a safe, transparent environment for DeFi.
What role does the DAO play in distributing GLP funds?
The DAO is responsible for managing and distributing funds fairly and transparently to liquidity providers.
Can other projects learn from this event?
GMX's successful recovery is a testament to the importance of negotiation and risk management.
Source: https://tintucbitcoin.com/gmx-quy-glp-tren-arbitrum-phuc-hoi/
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