DeFi protocol Yearn.Finance has proceeded to compensate victims of the $ 11 million hack by unlocking a YFI fund acquired after increasing token supply.
Transaction which has fixed yDAI share pricehttps://t.co/8LvqbzTRde
Maker Vault opened by Yearnhttps://t.co/szUKmk1Eyx
— yearn.finance (@iearnfinance) February 9, 2021
Yearn.Finance compensates users for the $ 11 million hack
Yearn.Finance restored the yDAI Vault fund after being used by hackers to withdraw $ 11 million in DAI money.
In a statement released on February 9, the Yearn.Finance team said it had unlocked a new YFI fund and issued 9.7 million DAI from the fund to restore the yDAI Vault. Yearn adds that the decision to issue tokens above will be the only exception to the incident, and recommends that users hedge the risk by purchasing insurance from Cover Protocol.
Cover Protocol is an insurance protocol that has been merged into the Yearn.Finance ecosystem, but has also been attacked by hackers, causing heavy damage.
Despite being hacked, the locked token (TVL) value of Yearn.Finance is still relatively stable. At press time, Yearn’s TVL is $ 490 million, ranking 14th on the DeFi Pulse chart.
TVL volatility statistics of Yearn.Finance in the last 30 days | Source: DeFi Pulse
Previously, the Yearn.Finance community agreed with the plan to increase the total supply of YFI by 6666 tokens, worth $ 225 million at that time. The purpose of this is to provide more financial incentives for those who are contributing to the protocol to compete with other competitors.
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