Platypus to Repay 63% of User Funds After $9M Hack

• Platypus Finance, a DeFi protocol for stablecoins, was hacked last week and lost $9 million.
• The protocol worked with crypto exchange Binance to identify the hacker responsible for the attack.
• Platypus has managed to recover at least 63% of funds and is working with law enforcement and Aave’s governance forum to release other assets.

Platypus Finance Hack

Platypus Finance, a decentralized finance (DeFi) protocol for stablecoins, suffered a hack last week in which $9 million was stolen from the platform. The Avalanche-based protocol has since worked with crypto exchange Binance to identify the exploiter responsible for the attack and has managed to recover at least 63% of user funds.

Exploit Details

The exploit consisted of three consecutive attacks. The first attack drained $8.5 million worth of digital assets from the main pool, including Circle’s USDC, Tether’s USDT, Maker’s DAI and Paxos’ binance USD. The second attack mistakenly transferred $380,000 of stablecoins to lending protocol Aave. The hacker used a Binance account that went through know-your-customer checks for a withdrawal request.

Recover Funds

Platypus Finance recovered $2.4 million of stolen USDC stablecoins with the help of blockchain security firm BlockSec while Tether froze $1.5 million of stolen USDT as well as filed a complaint in France and contacted law enforcement agencies about the incident. Additionally, Platypus submitted a proposal to Aave’s governance forum for releasing those assets worth around $287,000 back into its platform safely without any losses incurred by users affected by this attack..

Repayment Plan

Platypus Finance said it will repay a minimum of 63% of funds to users after recovering part of them back from their attacker successfully under its repayment plan In order ensure greater security going forward, it also implemented new measures such as additional solvency checks on all pools along with various bug fixes in its system protocols .


Overall despite this unfortunate event causing some financial loss on both sides; Platypus Finance is taking active steps towards restoring user trust in its system by recovering most funds back from attackers & implementing various precautionary measures that should make DeFi protocols more secure against similar attacks in future

TRU Token Rallies Over 200% After Binance’s TUSD Mint Sparks Speculation

• TrueFi’s TRU token rallied over 200% after Binance’s TUSD mint sparked speculation.
• The speculation appears to be connected to TUSD, a stablecoin previously issued by TrueFI but no longer is.
• The rally was likely caused by traders mistakenly connecting the two tokens.

TrueFi’s TRU Token Rallies Over 200%

The rally appears to come from traders mistakenly connecting TRU with TUSD, a stablecoin that had been issued by TrueFi in the past but now no longer is. By Krisztian Sandor Feb 16, 2023 at 6:03 p.m. UTC Updated Feb 16, 2023 at 7:24 p.m. UTC

Background of the Rally

TRU, the governance token of decentralized lending protocol TrueFi, surged 220% on Thursday in an hour, data by CoinMarketCap shows, in a speculative flurry over a Binance stablecoin transaction. Before the rally took off, Binance, the world’s largest crypto exchange by volume, minted $50 million of TrueUSD (TUSD) stablecoin, according to blockchain data. The event sparked speculation among crypto traders about TUSD potentially gaining a larger role in trading on Binance after the regulatory crackdown on the Paxos-issued Binance USD (BUSD).

Mistaken Connection between Tokens

However, the speculation about the TRU token appears to be misplaced because the issuers of the TrueUSD and TRU tokens were separated a while ago. TrustToken sold TUSD in 2020 to a firm called Techteryx, according to an announcement by TrustToken Chief Executive Rafael Cosman at the time. The post said Techteryx is an “Asia-based conglomerate with businesses … in the traditional real estate, entertainment, environmental and information technology industries.” TrustToken also separated from the TrueFi protocol and was renamed Archblock last year as TrueFi embarked on its road to decentralize its platform.

TRU Price Movement

TRU surged as high as 14

Kraken Agrees to End US Crypto-Staking Services to Settle with SEC

• The SEC is meeting in a closed-door session on Thursday to settle charges with Kraken over offering unregistered securities.
• Kraken will immediately end its crypto staking-as-a-service platform for U.S. customers and pay $30 million in order to settle the SEC charges.
• The SEC has confirmed that Kraken’s staking services for U.S. customers will be shut down under the settlement agreement.

Kraken Agrees to Shutter US Crypto-Staking Operations

The U.S Securities and Exchange Commission (SEC) has voted on a settlement with cryptocurrency exchange Kraken where it agreed to immediately end its crypto staking-as-a-service platform for U.S customers and pay $30 million in order to settle the SEC charges of offering unregistered securities.

SEC Charges Over Unregistered Securities

Kraken offered its staking services with an APY of up to 20%, promising to send customers staking rewards twice per week, as stated on their website. It also offered a crypto lending product which provided up to 24% yield but both these services are expected to shut down under the said settlement agreement with the SEC.

Closed Door Session

The SEC held a closed door commissioner meeting on Thursday afternoon regarding settling charges against Kraken, and an announcement may come later in the day after the publication of this article, according to an industry person briefed on the matter.

Implications For Cryptocurrency Regulations

CoinDesk Global Policy and Regulation Managing Editor Nikhilesh De discussed how this case could have implications for wider cryptocurrency regulations across different countries, such as requirements for KYC/AML processes or even laws governing certain types of activities related to digital assets or tokens that can be classified as securities or financial instruments in some jurisdictions around the world.

The resolution between Kraken and SEC is seen as another milestone towards establishing clearer regulations surrounding cryptocurrency companies operating within US jurisdiction by providing greater legal certainty regarding activities related to digital assets or tokens that can be classified as securities or financial instruments in some jurisdictions around the world

Crypto Exchange Bittrex Lays Off More Than 80 Staff: CEO Cites New Economic Environment

• Bittrex, a Seattle-based cryptocurrency exchange, is cutting its staff by more than 80 people due to market conditions.
• CEO Richie Lai cited the “new economic environment” as the primary reason for the cuts.
• This follows other crypto exchanges such as Coinbase and Gemini who have also had to make layoffs in light of recent market downturns.

Bittrex Laying Off More Than 80 People

Seattle-based cryptocurrency exchange Bittrex is reducing its staff by more than 80 people, the company confirmed Thursday, citing market conditions. In a leaked email on Twitter, Bittrex CEO Richie Lai told employees the team had been working “aggressively” to reduce expenses and increase efficiencies, but were not successful. The reductions affected at least some employees in most departments across Bittrex, a spokesperson told CoinDesk.

Reason Behind Layoffs

CEO Richie Lai cited the “new economic environment” as the primary reason for the cuts. He wrote that “the market downturn triggered by multiple failures in the crypto ecosystem became an outright collapse by the end of the year,” which prompted them to reset their strategy and balance their investments with this new reality.

Other Crypto Exchanges Make Layoffs

Bittrex is one of many crypto exchanges that announced layoffs in light of sharp declines in cryptocurrency prices and other prominent crypto firms collapsing. In January, U.S.-based exchange Gemini announced a third round of layoffs, while Coinbase said it would cut 20% of its workforce. According to CoinDesk estimates since April more than 29,000 jobs have been lost across the crypto industry based on media reports and press releases.

Job Losses Since April

CoinDesk estimates that since April more than 29,000 jobs have been lost across the crypto industry based on media reports and press releases.


The ongoing pandemic has had significant impacts on various industries all around world – including cryptocurrencies – causing numerous companies to resort to layoffs as they face unprecedented times ahead and recalibrate their strategies accordingly