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Gnosis chain operators have executed a hard fork to recover stolen funds.
The action followed a major exploit affecting Balancer-managed contracts.
Roughly one hundred sixteen million dollars in crypto was stolen in November.
Gnosis confirmed the hard fork was completed earlier this week.
The decision followed extensive coordination with node operators.
A majority of validators had already adopted a soft fork.
That soft fork was implemented shortly after the exploit surfaced.
The hard fork aimed to neutralise the attacker’s control over funds.
Gnosis said the assets are now out of the hacker’s reach.
The recovery applies to Balancer contracts deployed on Gnosis Chain.
The project described the outcome as a significant step forward.
Further community discussion is ongoing regarding fund distribution.
There is still a live community discussion around how people will be able to claim back their funds.
Philippe Schommers said.
Schommers leads infrastructure efforts at Gnosis.
He said contributors to the recovery may also be recognised.
Right now we’re focused on enabling funds to be recovered by Christmas.
Philippe Schommers said.
He added that recovered assets would be held securely.
Funds are expected to be placed in a DAO-controlled wallet.
Decisions on compensation will follow once recovery is complete.
Balancer disclosed the exploit on November third.
The platform said the attack targeted specific liquidity pools.
The exploit was limited to V2 Composable Stable Pools.
Onchain data showed large transfers of staked ether.
The attacker moved assets to a newly created wallet.
White hat hackers later intervened in the incident.
Approximately twenty eight million dollars was recovered initially.
Most of the stolen assets remained inaccessible after that effort.
Balancer had undergone extensive security reviews before the attack.
Four separate firms conducted audits of the protocol.
A total of eleven audits were completed on Balancer V2.
Despite audits the vulnerability was not detected.
The incident renewed debate around smart contract risk.
Developers acknowledged audits cannot eliminate all threats.
The hard fork marks an unusual recovery approach.
Such actions are rare in decentralised networks.
The move sparked discussion about governance powers.
Some community members welcomed decisive intervention.
Others raised concerns over precedent and immutability.
Community consensus guided the response.
Gnosis said
The incident highlights coordination between protocols.
It also underscores ongoing security challenges in DeFi.
Developers continue to review lessons from the exploit.
At the time of reporting, Ethereum price was $2,926.43.