KyberSwap has introduced a Treasury Grant program for impacted users in response to the November 22 exploit.
A post on X on December 1 stated that the KyberSwap elastic issue led to exploitative swaps that took almost $48.8 million out of users’ liquidity pools.
In order to find the exploiter and retrieve user funds, the network that powers KyberSwap, the company’s flagship product, confirmed its commitment to working with cybersecurity and law enforcement at the moment.
As part of their strategy, KyberSwap disclosed that they intended to give awards to impacted users that matched the USD amount of money that was lost during the exploit and was not yet retrieved from each user’s liquidity pool.
The KyberSwap Elastic Exploit has affected five asset types, according to the December 20 update, for users that supplied assets to KyberSwap Elastic Pools. In order to prevent affected users from withdrawing their funds, these impacted assets were either locked or removed from the affected pools.
A variety of options about each address for Treasury Grants are displayed to qualified users within the application. The first option offers USD stablecoins that vest over three months and are equal to 60% of the reference value of the impacted assets.
With a 12-month vesting period, the second option provides USD stablecoins equal to 100% of the reference value. As an alternative, impacted users will be able to opt out.Users can select an alternative via the Treasury Grant UI starting on January 11. Decision-making will end on January 23 and distribution will start on February 1.
