Defi platform Cetus, part of the Sui ecosystem, resumes operations following a hack that led to a loss of $233 million.

🔵 Cetus Rises Again After Devastating $233 Million Exploit

The decentralized exchange (DEX) on the Sui blockchain, Cetus Protocol, has made a comeback following a traumatic oracle attack that led to a staggering loss of $233 million in May.

The attack, causing 70-90% drops in various SUI-based tokens, had manipulated price curves and reserve calculations, giving the attacker the opportunity to drain liquidity pools on the DEX.

Last Saturday, in a blog post, the platform disclosed the nasty details: the attacker had taken advantage of a vulnerability in a CLMM-dependent open-source library, had swindled assets from major pools, and had conducted numerous on-chain swaps, leaving pool prices and balances in shambles.

But worry ye not, dear Cetus believers! The protocol team has spared no effort to secure the platform, retrieve assets, and prepare for a quick relaunch.

🌊 Here's the Final Countdown 🌊

In less than no time, Cetus will make its grand entrance once again. Before the relaunch, the team will disclose the complete Recovery Plan, showcasing the future of the protocol.

This journey isn't just about getting back on track — it's about rebuilding, becoming stronger, and forging a more resilient and vibrant DeFi ecosystem.

🐳 [Picture of a cute whale, because why not?]

Staying true to its word, Sui Foundation has extended a bridge loan of $30 million and has helped in returning the seized assets via a community governance vote. Additionally, the recovery plan also includes conserving 15% of the total CETUS token supply for compensating affected users.

CETUS tokens will be distributed to eligible users starting from Tuesday, June 10th, with immediate release of 5% tokens, and an additional 10% vesting linearly over 12 months.

Any extra funds recovered from the hack in the future will be redirected to users instead of CETUS tokens. The protocol is currently collaborating with law enforcement in multiple jurisdictions, hopeful that the arrest and recovery remain just a matter of time.

Ironically, some have criticized the Sui Foundation's immediate response to the hack due to centralization concerns. However, Christian Thompson, Managing Director of the Sui Foundation, believes that these criticisms are unjustified.

"[The critics] either misunderstand the facts or have a fundamental misconception about what decentralization means," Thompson argues. "True decentralization isn't paralysis—it's coordination among independent parties who can act decisively when it counts."

Hold onto your SUI and CETUS tokens, dear readers, because things are about to get interesting! Price swings might be unavoidable, but the future promises a more secure, user-friendly, and powerful DeFi infrastructure in the Sui ecosystem.

🔵 References[1] [white paper][2] [cryptotimes][3] [decrypt][4] [cetus protocol][5] [coindesk][6] [coinmarketcap][7] [coingecko]

In a bid to rebuild and strengthen the DeFi ecosystem, Cetus Protocol plans to relaunch after a $233 million exploit, supported by a recovery plan that includes asset retrieval and user compensation.
Sui Foundation has extended a bridge loan of $30 million to aid in returning the stolen assets and has set aside 15% of the total CETUS token supply for user compensation.
CETUS tokens will be distributed to eligible users, with an immediate release of 5% and an additional 10% vesting linearly over 12 months.
Any additional funds recovered from the hack in the future will be redirected to users instead of CETUS tokens.
The protocol is collaborating with law enforcement in multiple jurisdictions, with the aim of arresting the attacker and recovering the remaining assets.
Critics have raised concerns about centralization in the Sui Foundation's response to the hack, but Christian Thompson, Managing Director of the Sui Foundation, believes these concerns are unwarranted, stating that decentralization is about coordination among independent parties, not paralysis.