Stolen GMX funds totaling $42M surrendered

GBHackers News reports that decentralized perpetual exchange GMX had $42 million in cryptocurrency assets pilfered from its users through the exploitation of a flaw in the GMX V1 smart contract architecture returned by an ethical hacker, who was given a $5 million reward for his efforts.

"After payment of a $5 million bounty to the user, the remaining funds are now safely in the GMX Security Multisig. Contributors are working on a proposed distribution plan for presentation to the GMX DAO and will share more information shortly," said GMX in a post on X, formerly Twitter. GMX also noted immediate notification of the codebase flaw to GMX V1 codebase independent project forks. Such a development has been noted to be a potentially positive precedent for increased ethical hacking activities in the DeFi space, as well as continued innovation in attack response and recovery processes.