We're back 🦦
Vaults fully restored, users made whole, every affected Vault 100% refilled.
Thanks for sticking with us through this 🙏 now let's get back to it #Haedal
Haedal Vault has been restarted. 🦦
Users can now operate all Vaults normally. The recently affected Vaults have been deprecated and replaced by new corresponding Vaults:
SUI-USDC, ETH-USDC, DEEP-SUI, WAL-SUI, CETUS-SUI, LBTC-SUI.
All new Vaults have been 100% refilled based on the pre-attack balances of the affected Vaults.
The new package upgrade and recovery procedures have all gone through cross-party review. Vault operations are now fully resumed and running normally. Please rest assured.
We deeply appreciate your patience and continued support. Apologize again for the recent inconvenience caused.
Now, enjoy your on-chain exploration again. 🌊
Update:
The patched version is completed and now under cross-party review.
We also want to address one question some users care about:
We will NOT use any HAEDAL token to cover the Vault loss. No new circulation. No additional selling.
The loss will be compensated 100% in the original assets of the affected Vaults.
New Vault pools will be created to replace the affected ones. Vault recovery and restart are expected to proceed soon next week once all checks are cleared.
Thank you again for your patience. We’ll keep you updated once everything is ready. 🤝
📢 Thank you for your patience.
We have completed the Haedal Vault post-mortem report, covering the affected scope, root cause, loss accounting, and current next steps. The total direct loss is estimated at approximately $915,179 (Haedal will cover the user loss).
On June 9, we detected abnormal liquidity decline across several Vault pools. To prevent further abnormal activity, we paused the related contracts while investigating the issue.
After a thorough diagnosis, we confirmed that the root cause was a hidden cross-version logic issue related to a Vault upgrade deployed at the end of last year. After the newer Vault package was released, older package entrypoints remained callable instead of being fully deprecated through a forced upgrade. This allowed the attacker to mint more Vault LP shares than expected through an older deposit path, then redeem them against the Vault’s underlying assets.
The old package, new package, and upgrade had all gone through audit review, and the issue did not surface when each version was reviewed independently. In hindsight, the update should have been treated as a forced upgrade, as keeping older entrypoints callable allowed the hidden cross-version logic loophole to appear.
To clarify, the issue was only limited to Haedal Vault. All other Haedal products, modules, and assets remain fully safe and unaffected.
We are now working on a patched version, which will go through re-audit and cross-party review before the upgrade and unpause. We are also coordinating with partners on fund tracking and the investigation against the exploiter.
As previously stated, all direct losses regarding this incident will be covered by Haedal, and affected users will be made whole. Please rest assured. A detailed fund recovery plan will be shared later once the short-term barriers are cleared.
We sincerely apologize for the inconvenience and concern caused. Thank you again for your continued patience while we complete the next steps carefully. 🫡
📢 We recently detected an unusual liquidity decline across a limited number of pools in Haedal Vault.
As a precautionary measure, we have temporarily paused the related contract while the team investigates the root cause and prevents any further impact.
The impact is limited to a small number of Haedal Vault pools. All other Haedal products and modules remain secure and fully unaffected.
All direct losses related to this Vault matter will be fully covered by Haedal. Please rest assured.
We will share a more detailed investigation update once the analysis is complete. Thank you for your patience and understanding. 🙏
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