Bitcoin decentralized finance (DeFi) platform ALEX Protocol has lately suffered an assault, dropping $8.3 million in person funds. This represents the second exploit of the Stacks-based challenge in simply over a yr following a earlier heist by the infamous North Korean Lazarus hackers group from North Korea.
ALEX Protocol Falls Sufferer To Self-Itemizing Verification Flaw
In an X submit on June 6, the event staff behind the ALEX Protocol introduced the DeFi challenge skilled an exploit attributable to a vulnerability in its self-listing verification logic i.e. a safety mechanism meant to forestall unauthorized asset listings. A failure is that this safety system may probably permit dangerous actors to introduce malicious, unauthorized or pretend belongings to the ALEX protocol which might be exchanged for reputable belongings.
By slipping previous the self-verification logic, hackers had been in a position to drain a number of asset swimming pools making away with 8,403,867.57 Stacks (STX), valued at $5,691,255.93, 21.85 sBTC ($2,244,751.87), 149,850 USDC/USDT ($149,850), and a pair of.80 WBTC ($287,369.33) resulting in a complete haul of $8,373,227.13.
ALEX Protocol Declares Compensation Plan
Following this latest cyber assault, the builders behind ALEX Protocol has pledged to cowl all person losses utilizing the ALEX Lab Basis Treasury. All compensation might be paid in USDC and based mostly on the common on-chain trade worth of the stolen belongings on the time of the exploit between 10:00 UTC – 14:00 UTC on June 6,2025.
By 23:59 UTC on June 8, all affected wallets ought to have obtained a personal on-chain notification alongside a declare kind. The claimants are anticipated to fill the shape which ought to embrace a receiving pockets tackle earlier than continuing to submit forward of the deadline on June 10 by 23:59 UTC.
The ALEX Protocol administration staff additional states that every one affected wallets ought to anticipate a full compensation inside seven days after the submitted kind is verified. It’s value stating that every one victims with questions or those that fail to obtain notification electronic mail earlier than specified deadline are suggested to succeed in out by way of the e-mail said within the announcement.
The ALEX Protocol is constructed on the Bitcoin community utilizing the Stacks blockchain. It’s a in style DeFi platform providing a variety of providers, together with lending, borrowing, and buying and selling. Moreover, ALEX helps cross-chain bridges, enabling customers to switch belongings seamlessly from different networks reminiscent of Ethereum and BNB Sensible Chain.
As earlier said, the DeFi challenge had suffered a earlier exploit in Could 2024 when the Lazarus group withdrew $4.5 million by the platform’s bridge on the BNB Sensible Chain Community.
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