Protocol Recovery describes the process of restoring a blockchain protocol or decentralized application to its intended operational state after a significant disruption. This disruption might stem from a security exploit, a critical bug, or a major system failure. Recovery efforts often involve coordinated actions such as code updates, asset recovery, or community governance decisions.
Context
Successful protocol recovery is vital for maintaining trust and continuity within the decentralized finance (DeFi) ecosystem, especially after high-profile incidents. These efforts often test the resilience and governance mechanisms of a protocol. The ability to recover effectively demonstrates a project’s commitment to long-term stability and user protection.
A critical logic flaw in the Composable Stable Pool's internal balance management allowed unauthorized withdrawal of $128M across seven distinct chains.
A critical access control flaw in the V2 Composable Stable Pool's `manageUserBalance` function permitted unauthorized internal withdrawals, compromising over $120 million in pooled assets.
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