Cetus Protocol (Cetus) is rebooting fully functionally at 06:00 on June 9, 2025, following a comprehensive recovery plan after a security violation. The protocol undergoes a comprehensive restructuring based on both community voting and various financial steps, with the aim of restoring user funds and pool balances.
The Cetus team recovered some of the lost assets through voting and reconciliation of these assets. They also committed $7 million from the Treasury to get back the missing tokens. Additionally, a $30 million USDC loan was provided by the SUI Foundation.
A reward plan for Cetus, the protocol’s native token, is being introduced. 15% of the total token supply is reserved as compensation. 5% of this will be entitled at launch, with the remaining 10% going to vest linearly over 12 months.
“Over the past two weeks, our team has been working day and night to deal with security incidents. We appreciate the patience and trust that the community shows throughout this process. We are now ready to share our final recovery plan that will resume the Cetus protocol fully functional.”
The attack targeted the Cetus Clmm (centralized liquidity market manufacturer) pool. The attack used sophisticated methods to exploit vulnerabilities in the open source CLMM library, ejecting a significant amount of assets from the large pool. The attackers significantly disrupt the price and balance of the pool, and performed many on-chain swaps.
*This is not investment advice.
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