March 31, 2023


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Platypus Finance Introduces Portal for Users to Claim Compensation After $9.1M Attack

2 min read

Platypus Finance, a DeFi protocol, has introduced a new portal that allows its users to check the amount owed to them by the platform following the recent exploit that resulted in a loss of $9.1 million.

On February 16, the DeFi protocol suffered a flash loan attack, causing the Platypus USD (USP) stablecoin to break its peg with the US dollar. The platform confirmed that they lost around $8.5 million from their main pool, and they reached out to the hacker to discuss a bounty.

The audit report from Platypus auditor Omniscia indicated that the attack happened due to an issue in the code order. The team requested anyone who finds any errors in the calculations to submit a form and supporting evidence before March 3, 11:59 pm UTC. The platform mentioned that they will finalize the calculations after receiving all feedback and make the first compensation available to users in March.

Platypus Finance prioritized refunds and is currently working on recovering any remaining funds. Meanwhile, two suspects related to the hack were arrested by French police, with around $222,000 worth of crypto assets seized on February 25, with support from crypto sleuth ZachXBT and the Binance exchange.

The platform announced a compensation plan for user funds on February 23, intending to return around 78% of the main pool funds by reminting frozen stablecoins.

The team confirmed second and third incidents, which led to another $667,000 exploited, resulting in total losses of $9.1 million. The platform has launched a new page that enables users to check how much compensation they can receive, including an overview, pre-attack net value, and post-attack adjustments sections.