Balancer

**Investigation Status** Balancer's recovery efforts for affected funds remain ongoing with law enforcement involvement. The team cannot share additional details at this time due to the active investigation. **Potential Future Distributions** - Any recovered funds may be distributed to affected users - Distributions would require approval through Balancer's governance process - Timeline remains uncertain as investigation continues The protocol maintains transparency about the situation while respecting law enforcement protocols.

Balancer has established a **180-day claiming period** for affected users under BIP-892. **Key Details:** - Users must claim their assets within the specified 180-day window - After this deadline, unclaimed assets will be classified as dormant - The allocation of dormant assets will be determined through a separate governance proposal This policy follows similar precedents in DeFi governance, where unclaimed tokens are typically redirected to DAO treasuries after specified deadlines.

**Gnosis Chain is working on its own claim mechanism for users who lost funds.** Following a hard fork that secured affected funds, the network is developing a separate recovery process. The mechanism is currently under development, with updates to be announced when available. **Key Points:** - Recovery handled independently by Gnosis Chain - Hard fork successfully secured the funds - Claim mechanism still in development - Official updates coming soon Users affected by fund losses should wait for official announcements from Gnosis Chain regarding the claim process.

Balancer has opened a 180-day claim window for users affected by the November 3rd V2 incident to recover whitehat-rescued funds. **Key Details:** - Claims process follows BIP-892 governance proposal - 180-day deadline for affected users to submit claims - Merkl waived campaign creation fees to support the recovery effort - Unclaimed assets after the window become dormant and subject to future governance decisions Affected users should act within the claim period to recover their funds.

The Monad ecosystem is organizing a livestream featuring representatives from six protocols: - **Fastlane** (Tom Fastlane) - **Magma** (Jerry PPB) - **Neverland** (Alice NVR) - **Curvance** (Crypto Tom) - **Kintsu** (Alexi0s) - **Balancer** (Marcus) The session aims to showcase developments within the Monad ecosystem. Previous community events have included discussions about the network's roadmap and featured projects like Curvance, Kizzy Mobile, and PingMe.

Balancer is bringing back **Liquidity Bootstrapping Pools (LBPs)**, the fair token launch mechanism that dominated 2020-2022, now on V3. **Why LBPs matter:** - Enable price discovery without sniper advantages or whale manipulation - Require only 10-20% of capital needed for traditional launches - No KYC, lotteries, or wallet caps needed - Natural protection through weight shifts (95/5 to 50/50) that create downward price pressure **The problem they solve:** Points-based airdrops became exploitable - LayerZero caught 1.1-1.3M Sybil wallets, zkSync excluded 90% of addresses. Meanwhile, CEX launches cost $250K-$1M+ with 3-6 month timelines. **What changed:** Market conditions shifted and regulatory clarity emerged. Projects with real communities but moderate budgets need alternatives to expensive exchange fees or giving tokens away. Hyperwave's October launch on HyperEVM demonstrates the mechanism's return to relevance.

**Yuzu Money** is leveraging V3 boosted pools on **Plasma Capital** to generate yield from previously dormant liquidity. **Key Innovation:** - V3's ERC20MultiToken and transient accounting enable gas-efficient 100% boosted pools - Yield-bearing tokens (like Aave USDC) register directly with pools, eliminating BPT nesting **How Buffers Work:** - Act as two-token liquidity pools holding yield-bearing tokens and their underlying counterparts - Facilitate most swaps without external calls when sufficient liquidity exists - Automatically trigger wrap/unwrap for larger swaps while rebalancing This architecture provides LPs with full exposure to yield-bearing assets while maintaining gas-efficient swaps through minimal buffer liquidity. [Plasma Capital](https://Plasma.Capital) | [Yuzu Money](https://yuzumoney.com)

Balancer has officially launched **V3**, marking a significant upgrade to the decentralized exchange protocol. **Key Points:** - V3 represents a major technical evolution for the platform - The upgrade introduces new features aimed at improving the DeFi ecosystem - Full details available in the official [Medium article](https://medium.com/balancer-protocol/balancer-v3-here-to-stay-9ec37439b4be) The protocol describes this as "a new chapter where balance meets innovation," signaling their commitment to long-term development and ecosystem growth. Balancer continues to position itself as a foundational infrastructure for DeFi builders.

**Balancer V3 has dramatically simplified custom AMM development** by moving all complexity from individual pools to the vault architecture. **Pools now only need three functions:** - `onSwap` - calculation logic - `computeInvariant` - pool invariant - `computeBalance` - operation balances **The impact:** Custom AMM strategies that previously took months of wrestling with base contracts now take just days to implement core math. This represents a fundamental shift from V2's approach, which assumed developers could make slight math adjustments while base contracts handled complexity—a model that didn't work in practice.

Balancer V3 introduces **security-by-design** architecture that fundamentally prevents common DeFi vulnerabilities. **Key Security Features:** - **EIP-1153 transient accounting** eliminates reentrancy attack vectors - **Vault-managed token handling** removes traditional attack surfaces - **No external oracle dependencies** for core operations These protections are **built into the protocol layer** rather than added as afterthoughts, representing a shift toward architectural security in DeFi infrastructure. The approach contrasts with traditional security models that rely on external safeguards, instead making exploits structurally impossible through the protocol's fundamental design.