馃挵 Balancer Proposes Framework for Redistributing $45.7M in Recovered Hack Funds
馃挵 Balancer Proposes Framework for Redistributing $45.7M in Recovered Hack Funds
馃挵 Recovery Framework Revealed
Balancer has opened community discussion on redistributing recovered funds from the November 3rd V2 exploit that initially stole $94.8M.
Key Recovery Details:
- $45.7M total protected/recovered through coordinated response
- $4.6M recovered by whitehat hackers under SEAL framework
- $19.3M protected through emergency pool pauses
- $21.8M recovered by StakeWise DAO emergency operation
Proposed Distribution Framework:
- Pool-by-pool reimbursement rather than socializing losses
- LPs must actively claim recovered funds (no airdrops)
- Proportional distribution based on positions at exploit time
- Only applies to pools where funds were actually recovered
Technical Background: The exploit targeted V2 Composable Stable Pools through rounding errors in exact-out swaps, affecting pools across Ethereum, Arbitrum, Base, Optimism, and Polygon. Balancer V3 remains completely unaffected due to its different architecture.
Next Steps:
- Community feedback period on forum proposal
- veBAL governance vote required for final approval
- Claiming process details to be announced
- Continued law enforcement coordination for remaining funds
Balancer emphasizes transparency and user-centric approach throughout the recovery process.
In connection with the recent Balancer V2 stable-pool incident, a new value-extraction path was identified in V2 meta-stable pools. In coordination with @CertoraInc and @_SEAL_Org , Balancer team initiated a whitehat recovery around 7PM UTC and has secured ~$4.1M to controlled
A new discussion is now live on the Balancer Forum for feedback, outlining a suggested framework for redistributing assets recovered during the recent attacks on v2, including both whitehat rescues and internal recovery efforts. It proposes a method for reimbursing LPs in pools
馃敀 Balancer Shuts Down v2
**Balancer has approved BIP-887**, officially disabling v2 pool factories and making v3 the only platform for new pool creation. **Key Changes:** - No new v2 pools can be created - Existing v2 pools remain operational but migration to v3 is recommended - v3 offers better gas efficiency and enhanced security **What's Affected:** - WeightedPoolFactory disabled - ManagedPoolFactory disabled - NoProtocolFeeLiquidityBootstrappingPoolFactory disabled **What Continues:** - veBAL system unaffected - Partner integrations maintained - Gyro eCLP pools still deployable (separate factories) - Migration support available This transition concentrates activity on v3 for improved security and resource efficiency. [Read full proposal](https://forum.balancer.fi/t/bip-887-transitioning-to-balancer-v3-disabling-v2-pool-factories/6874)
StreamDefi Partners with Balancer to Launch Four StableSurge Pools Across Multiple Chains
**StreamDefi** has launched four new StableSurge pools on Balancer v3, bringing their $265M+ TVL and delta-neutral strategies to **Plasma, Arbitrum, and Avalanche**. **Key Features:** - **StableSurge hooks** maintain tight pegs through dynamic fee adjustments - Penalties for destabilizing trades, rewards for rebalancing trades - **100% boosted pools** earn lending yield while providing liquidity - Delta-neutral strategies offering **8-18% APY** with zero directional risk **Live Pools:** - [xUSD/USDT on Plasma](https://balancer.fi/pools/plasma/v3/0x694c009aa31b3f80ee18c218b02390ca2d7151e7) - [USDC/xUSD on Arbitrum](https://balancer.fi/pools/arbitrum/v3/0x7c60989d5e663836cf688f2bacf12a1208ae11b7) - [mevUSDC/xUSD on Avalanche](https://balancer.fi/pools/avalanche/v3/0x9dfdf58e1624cba507d0a38059e85eeab74f3b6b) - [BTC.b/xBTC on Avalanche](https://balancer.fi/pools/avalanche/v3/0x345e9afe5dd68237541993e5e2b9a87367ed91b7) The partnership focuses on **sustainable returns** rather than unsustainable incentives, combining Stream's proven strategies with Balancer's peg-protecting technology. Explore pools at [balancer.fi](http://balancer.fi)
Plasma Protocol Reaches $100M TVL Within 24 Hours of Launch
**Plasma Protocol achieved over $100M in Total Value Locked (TVL) within just 24 hours of deployment.** Key highlights: - Protocol launched and immediately attracted significant capital - Liquidity flows directly into Aave vaults to boost yields for liquidity providers - Aave simultaneously reached $4B+ TVL during the same period The rapid adoption demonstrates strong market demand for the protocol's yield-boosting mechanism. By channeling funds into established Aave infrastructure, Plasma creates additional earning opportunities for participants while leveraging proven DeFi protocols.
Balancer Hosts Office Hours: DappCon Insights and reCLAMM Updates
Balancer is hosting their weekly office hours to discuss two key developments: - Insights and impressions from DappCon Berlin - Updates on the upcoming Readjusting Concentrated Liquidity AMM (reCLAMM) The community session will provide firsthand ecosystem updates and allow participants to ask questions directly. Join the discussion on [Discord](https://discord.com/channels/638460494168064021/930442359932600380). *Previous office hours have covered Balancer V3 developments and ecosystem updates.*