Cryptocurrency platform Galxe has announced that it will provide a 110% compensation for the lost funds of affected users targeted by a recent phishing scam.

This repayment will be automatically processed on October 16 to the original wallet addresses, unless users specify an alternative method.

The compensation will be made in Tether (USDT), with the value determined based on the exchange rate as of 10:00 UTC on October 9.

Users who fell victim to the hack by authorizing transactions on a phishing site on October 6 have experienced losses during the breach, which lasted for a little over five hours.

The total amount lost currently stands at over $396,000, with individual losses ranging from over $53,000 to negligible amounts.

Charles Wayn, co-founder of Galxe, has confirmed that the company is collaborating with two security firms to track down the stolen funds.

In addition, Galxe has taken measures to enhance its security protocols, including updating its Domain Name Services (DNS) security settings, changing its domain provider, and conducting security audits.

Wayn has attributed the incident to the domain registrar Dynadot resetting Galxe's account information and mistakenly granting permission to an imposter who presented fraudulent documentation claiming to be an authorized Galxe representative.