Balancer Validates Security Breach Post Previous Vulnerability Alert

Crypto News– Decentralized Exchange Balancer has officially confirmed an exploit that took place over the weekend, marking approximately one week since the team disclosed a critical vulnerability affecting specific V2 pools.

Balancer Validates Security Breach Post Previous Vulnerability Alert

Despite making efforts to mitigate the risks associated with this vulnerability and offering guidance for users to withdraw their funds, Balancer has indicated that it was unable to halt the affected pools in time to prevent the exploit from occurring.

“On Sunday, Balancer acknowledged an exploit related to the vulnerability mentioned earlier (as reported on Aug. 22),” the team stated. “While mitigation measures have substantially minimized risks, we were unable to pause the affected pools.” As of the initial warning on August 22, an estimated 4% of the total funds on the platform remained exposed to potential risk, as outlined in a post on the governance forum.

At present, the precise financial repercussions of the exploit remain uncertain. Nonetheless, Meir Dolev, the founder and CTO of the analytical firm Cyvers, was among the first to highlight that approximately $900,000 worth of funds had been transferred from pools, potentially linked to the exploit.

An address suspected to be associated with the perpetrator received a total of $979,000 in DAI stablecoin, distributed across three distinct transactions.