VUSD posted on the Telegram channel that Onyx Protocol suffered a security breach, resulting in the theft of more than $13 million in VUSD. After the incident, the smart contract has been suspended, and it has been confirmed that there are no vulnerabilities in the VUSD codebase and reserves.
The hacker then sold the stolen VUSD to the liquidity pool, resulting in a loss of approximately $1.5 million in secondary market liquidity. Malicious actors will be blacklisted according to the terms of service. After the investigation is completed, the VUSD smart contract service will be restored and participants can continue to arbitrage.
VUSD remains fully backed by overcollateralized assets, and institutional users can redeem and mint VUSD at market prices. VUSD is working with Onyx DAO and relevant authorities to identify the attacker, and plans to explore licenses required for retail redemptions in the future.
According to previous news, affected by the theft of Onyx, VUSD once decoupled and fell to $0.6599.
