Over $200,000,000 Withdrawn From Balancer (BAL) Pools After Project Announces ‘Critical Vulnerability'

The total value locked (TVL) on Balancer (BAL) dropped by more than $200 million over a period of 24 hours after the decentralized finance (DeFi) protocol advised users to withdraw liquidity as a precautionary measure.

Timeline of Balancer

In a close call that could have resulted in a catastrophic event for the decentralized finance (DeFi) protocol, Balancer has warned that $2.8 million remains at risk following the discovery of a critical vulnerability on August 22.

Balancer, a leading decentralized finance platform, acted swiftly after discovering a critical vulnerability affecting several V2 pools. The Balancer team unveiled the issue on Aug. 22 at 3:52 PM UST.

Liquidity protocol Balancer has disclosed that it has discovered a critical vulnerability that has impacted over 100 of its v2 pools spread across eight different blockchains. The team at Balancer has posted a list of the impacted pools on its GitHub page while also activating its emergency subDAO.

The DeFi platform Balancer (BAL) disclosed a vulnerability affecting several of its pools in a statement published on Aug. 22. In that post, Balancer Labs said that the vulnerability in question had not been exploited and said that 80% of the issue had been mitigated.

Balancer Labs has announced that a number of V2 Pools are vulnerable to an exploit after it received a report to that effect. The team at the decentralized finance (DeFi) protocol disclosed the said vulnerability on Tuesday, adding that emergency measures had been undertaken to secure a majority of user funds.

Balancer, a decentralized finance (DeFi) protocol operating on the Ethereum blockchain, has recently disclosed a critical vulnerability impacting several of their V2 Pools. While emergency measures have been implemented successfully to safeguard a significant portion of Total Value Locked (TVL), a portion of funds remains at risk.

Balancer protocol deploys on Polygon's zkEVM, optimizing Ethereum scaling and driving liquidity growth in the zkDeFi ecosystem. Integration of Balancer strengthens the DeFi experience on Polygon, creating a seamless and interconnected user environment.

More than a year ago, Balancer created its Boosted Pool to attract liquidity to the protocol by providing investors with additional incentives. How balanced has this made the protocol and its native token – BAL?

Ric Burton, the CEO of Balance, has stated that he believes he was taken advantage of by Hayden Adams, the creator of Uniswap, whom he had thought to be one of his "closest friends."

BNB Chain has partnered with Fjord and Balancer to launch Liquidity Bootstrapping Pools (LBPs) on its mainnet, according to a December 19 statement. The post BNB Chain launches Liquidity Bootstrapping Pools in partnership with Fjord, Balancer appeared first on CryptoSlate.