Protocol Recovery

Definition ∞ 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.