According to Cointelegraph, Galxe announced on October 10 that it will reimburse users who lost funds in a recent hack by 110%. The company expressed its gratitude to those who supported them during this difficult time. Affected users' funds will be automatically returned on October 16 to the wallet addresses they were taken from, unless they request other handling. The users will be paid in Tether (USDT) with the value calculated as of 10:00 UTC on October 9.

The hack, which occurred on October 6, affected users who authenticated transactions on a phishing site. It lasted just over five hours, and in a preliminary estimate dated October 10, over $396,000 of losses were recorded. The company had estimated earlier that around 1,120 users were affected by the hack. Platform co-founder Charles Wayn stated that Galxe is working with two security firms to track down the hacked funds and has improved its domain name service security settings, changed its domain provider, and is conducting security audits. The Galxe protocol is a permissionless self-sovereign identity infrastructure, and its native GAL token fell from $1.20 to $1.15 on October 6, but had settled at $1.16 at the time of writing, according to CoinGecko.