What You Should Know

• KiloEX, the decentralized exchange (DEX) that recently suffered a $7 million attack, has announced a compensation strategy for affected users.
• The attack took advantage of a weakness in the platform’s price oracle system.

KiloEX stated that users who had open positions during the platform’s downtime will be reimbursed for the difference from their increased losses or reduced profits. Compensation will only be calculated until the service resumes, prompting users to close their positions as soon as possible following the restart.

The perpetrator of the attack utilized a wallet funded by the crypto laundering service Tornado Cash, which is linked to the exploitation of the price oracle’s vulnerability.