The new direction? Open-source development, stronger security, and a commitment to compensate users.

Vulnerability Patched, Open-Source Future Unveiled

On May 22, attackers took advantage of a flaw in Cetus‘ pricing mechanism, draining major liquidity pools. Fortunately, $162 million worth of stolen assets were frozen shortly after.

You Might Be Interested In: Elon Musk Talks About the Name of a New Memecoin!

In a June 7 statement, the team revealed that they’ve not only patched the vulnerability but are also transitioning to an open-source model. A new white hat bounty program is launching to crowdsource contributions to security and stability.

Liquidity Restored Through Multiple Channels

To resume operations, Cetus replenished its liquidity using $7 million in cash reserves, a $30 million USDC loan from the Sui Foundation, and partial recovery of the stolen funds. Recovery rates for affected pools range from 85% to 99%, depending on the drain severity.

As part of a user compensation strategy, 15% of CETUS token supply has been allocated. While 5% will be distributed immediately, the remaining 10% will unlock linearly over 12 months, starting June 10.

Legal Action Underway As Security Tightens

Though a $6 million white hat bounty was initially offered, the attacker has started laundering funds, prompting Cetus to pursue legal action across multiple jurisdictions. Law enforcement agencies are actively involved, and the team remains confident about asset recovery.

Security audits are being ramped up again as Cetus aims to win back user trust through transparency and resilience.

You can also freely share your thoughts and comments about the topic in the comment section. Additionally, don’t forget to follow us on our Telegram, YouTube, and Twitter channels for the latest news and updates.

The post Cetus Return With Open-Source Vision After Devastating Exploit appeared first on Coin Engineer.

Sui Validators Approve Major Recovery Plan

After Cetus, a decentralized exchange, was exploited for over $220 million on May 22, Sui validators acted quickly to freeze $162 million in digital assets. The fate of these funds was determined through a governance vote concluded on May 29.

With 90.9% of validators voting in favor, the recovery proposal passed. The frozen assets will now be transferred to a multisignature wallet and held in trust until distributed to affected users, according to Sui’s official announcement.

You Might Be Interested In: Elon Musk Talks About the Name of a New Memecoin!

This move signals a pivotal step toward financial restitution for those impacted by the exploit.

Validator Intervention Sparks Governance Debate

The swift validator action reignited debate within the crypto world. While decentralization purists voiced concern over the ability to freeze onchain assets, others praised the move as an effective counter to escalating security threats in DeFi.

The recovery initiative extends beyond the frozen funds. It will also leverage Cetus’ own treasury and an emergency loan from the Sui Foundation to fully restore protocol operations.

Cetus Targets Full Recovery Within One Week

Cetus expressed appreciation for the rapid community support and outlined a full roadmap for protocol recovery. The first phase involves upgrading validator nodes to transfer the funds to a multisig wallet, followed by system restoration.

The team expects a full restart within one week. All liquidity providers will regain access to their assets, while remaining losses will be compensated via a dedicated smart contract currently undergoing auditor review.

Cetus emphasized that this compensation mechanism will ensure fair restitution for all affected users.

You can also freely share your thoughts and comments about the topic in the comment section. Additionally, don’t forget to follow us on our Telegram, YouTube, and Twitter channels for the latest news and updates.

The post Sui Community Approves Repayment Plan After Cetus Exploit appeared first on Coin Engineer.

DEX and liquidity infrastructure provider Cetus, operating on Sui, announced that users affected by the $223 million exploit on May 22 can recover 100% of their funds through a community vote. This recovery process will depend on the results of the upcoming community voting. Cetus stated: 

“By utilizing our cash and token reserves, if the locked funds are recovered via the upcoming community vote, we are currently in a position to fully cover the stolen assets that are currently off-chain.” 

Cetus noted that this includes a critical loan from the Sui Foundation. Thus, 100% recovery is possible for all affected users. The protocol emphasized that the recovery is entirely dependent on the community vote results. 

“Since full recovery depends on the community vote outcome, we humbly ask for the full support of the Sui community through the upcoming vote to reclaim the funds,” they said. 

Protocol acknowledged that this decision is an extraordinary demand forced by the circumstances but believes it is the right and fair decision, especially for those affected. Regardless of the outcome, the protocol stated that recovery efforts will begin immediately and expressed determination to “put things back on track.” This announcement came after some Sui-based tokens lost up to 90% of their value. Cetus’ own token, CETUS, lost 50% during the attack. The protocol also plans to allocate $10 million for audits, bug bounty programs, and official verification. 

New Progress Update – A Path Forward Together!

Since the incident, we have reflected deeply on the incident and its impact on our users, partners, and the broader ecosystem. We are deeply sorry and take this responsibility seriously. Today, we want to share a meaningful step…

— Cetus (@CetusProtocol) May 27, 2025

Cetus explained that the origin of the (SUI) attack was a vulnerability in the open-source library code of the Concentrated Liquidity Market Maker (CLMM) pool smart contract. The attacker exploited an overflow control bug to manipulate the pool liquidity. Following the $223 million hack, Cetus offered the attacker a $6 million “white hat” reward in exchange for fund return and a promise not to pursue legal action. However, no response has yet been received. This incident reignited the debate on the balance between security and decentralization in the DeFi ecosystem. 

 You can also freely share your thoughts and comments about the topic in the comment section. Additionally, don’t forget to follow us on our Telegram, YouTube, and Twitter channels for the latest news and updates.

The post Cetus DeFi Crisis: Will Funds Be Reimbursed After the Hack appeared first on Coin Engineer.

The Cetus team has offered the attacker a white hat bounty of $6 million in exchange for returning 20,920 ETH (worth around $55 million) and the remaining frozen assets. The offer was communicated through an on-chain message, which read:

“In return, you may keep 2,324 ETH ($6 million) as a bounty. We will consider the matter closed and will not pursue any further legal, intelligence, or public action.”

However, Cetus made it clear that if the stolen assets are not returned—or are laundered through crypto mixers—they will escalate the case using all available legal and intelligence resources.

Centralization Debate Rises Within the Sui Network

The Cetus hack has reignited the decentralization debate surrounding the Sui Network. GitHub activity suggests that Sui developers considered introducing an “emergency whitelist function” that would allow specific transactions to bypass standard security checks.

A software engineer claimed that if activated, the function would let validators use an unsigned transaction to recover $160 million from the attacker. However, some Sui developers have clarified that validators did not implement the patched code. Instead, they are only blocking transactions linked to the hacker.

This raised concerns among decentralization advocates, who argued that such an intervention contradicts the foundational principles of a permissionless blockchain. Still, others defended the move, saying it represents a more community-driven form of decentralization. One pseudonymous analyst stated:

“Real-world decentralization isn’t about being powerless; it’s about having the ability to act collectively—without needing permission.”

Crypto Hacks on the Rise

The month of April saw 15 crypto-related hacks, resulting in a total loss of $90 million. This marked a 124% increase compared to March, which recorded losses of $41 million. Meanwhile, the industry is still reeling from the largest hack of 2025—Bybit’s $1.4 billion loss in February.

Also, in the comment section, you can freely share your comments and opinions about the topic. Additionally, don’t forget to follow us on Telegram, YouTube and Twitter for the latest news and updates.

The post Cetus Offers $6 Million Bounty After $220 Million Hack appeared first on Coin Engineer.

What is Cetus Protocol?

Cetus Protocol offers a decentralized finance (DeFi) solution based on the Concentrated Liquidity Management model. It is built on the Sui and Aptos blockchains, providing users with more efficient trading and liquidity provisioning opportunities. The platform strives to create a sustainable ecosystem for both developers and investors in the DeFi space.

What is Concentrated Liquidity?

In a typical Automated Market Maker (AMM), liquidity is evenly distributed across the entire price curve (0, ∞). In contrast, concentrated liquidity is liquidity allocated within a specific price range. A concentrated liquidity protocol like Cetus allows liquidity providers to contribute their liquidity within a narrower price range, optimizing the utilization and profitability of their capital.

What is Move?

Move is a new, Rust-based open-source programming language designed to write secure smart contracts. Initially developed by Facebook to support the Diem blockchain, Move is platform-agnostic and provides common libraries, tools, and developer communities for blockchains with different data and execution models. Move focuses on security, avoiding common Web3 vulnerabilities like re-entrancy attacks, malicious tokens, and counterfeit token approvals. Both Aptos and Sui blockchains are developed in Move, contributing to the growing MoveVM ecosystem.

Cetus Protocol’s Benefits to the Ecosystem

One of the key advantages of Cetus is the liquidity efficiency offered by its concentrated liquidity algorithm. Both liquidity providers (LPs) and traders benefit from this design:

• Liquidity Providers (LPs): Can earn transaction fees more efficiently by concentrating liquidity within an active price range.
• Traders: Enjoy low slippage when trading close to the spot price.
• Developers: Can easily integrate with Cetus’ open-source smart contracts and SDKs, tapping into the platform’s efficient liquidity source.

How Does Cetus Protocol Work?

Cetus Protocol utilizes an AMM model, but it allows liquidity providers to concentrate their liquidity within specific price ranges, enhancing the overall efficiency compared to traditional AMMs.

• Concentrated Liquidity Management (CLMM): Liquidity is concentrated in a narrow price range, offering higher returns for LPs.
• Swap Transactions: The protocol allows token swaps with low transaction costs.
• Advanced Order Types: Users can leverage features like limit orders and range orders.
• Liquidity-as-a-Service: Cetus enables easy integration with other projects, supporting broader adoption.

You can review the project’s whitepaper for more in-depth details.

What is Cetus Protocol’s Goal?

Cetus aims to innovate in the decentralized finance space by providing low-cost, user-friendly trading opportunities. It seeks to reach a broader audience, especially within the Sui and Aptos ecosystems, and build a sustainable liquidity infrastructure for DeFi.

Who Created Cetus Protocol?

Cetus Protocol was founded by Henry Du, who led the development of an open, programmable, and modular liquidity protocol. The project also benefits from the contributions of experienced teams, particularly those behind the Sui and Aptos networks.

Who are Cetus Protocol’s Investors?

Cetus has attracted strategic investors at an early stage, including notable crypto-focused venture capital firms like OKX Ventures, KuCoin Ventures, SUI, and Animoca Brands. The core development communities of Sui and Aptos also played a significant role.

Cetus Protocol Tokenomics

The tokenomics of Cetus Protocol is based on a dual-token model:

• CETUS: The primary token of the ecosystem, with a total supply of 1 billion tokens. It is used for transaction fees, liquidity incentives, and staking rewards.
  • Distribution:
    • Community & Incentives: 40%
    • Development & Operational Funds: 30%
    • Early Investors: 15%
    • Reserve & Further Initiatives: 15%
• xCETUS: A staking model for long-term incentives.

The token distribution is designed to enhance transparency and build a sustainable community-driven ecosystem.

Conversion and Redemption

CETUS and xCETUS can be converted back and forth under certain conditions:

• CETUS to xCETUS: CETUS can be converted to xCETUS at a 1:1 ratio at any time.
• xCETUS to CETUS: Converting xCETUS back to CETUS requires a vesting period. The conversion ratio increases based on the vesting period chosen by the user.
  • Minimum 15-day vesting: 1:0.5 conversion rate.
  • Maximum 180-day vesting: 1:1 conversion rate.

Users cannot redeem CETUS until the vesting period is fully completed. Any unclaimed CETUS after the vesting period will be lost and directed to the Eco Treasury, which supports the protocol’s long-term sustainability and community incentives.

Conclusion: A Comprehensive Solution for DeFi

Cetus Protocol is not just a DEX, but also provides infrastructure services for blockchain projects, leveraging the performance advantages of Sui and Aptos. With its CLMM model, Cetus offers a more efficient use of liquidity compared to traditional DeFi protocols, providing better returns for liquidity providers and a smoother experience for traders. Its robust tokenomics, strategic partnerships, and user-focused design position Cetus as a significant player in the decentralized finance ecosystem.

You can also freely share your thoughts and comments about the topic in the comment section. Additionally, don’t forget to follow us on our Telegram, YouTube, and Twitter channels for the latest news and updates.

The post What is Cetus Protocol? | A DEX Platform appeared first on Coin Engineer.

Start of Trading and Transaction Times

Users can begin preparing their positions by depositing COW and CETUS two hours after trading starts. Withdrawals will be enabled a day later, starting at 12:00 PM (UTC) on November 7, 2024. This allows investors to secure their tokens and commence trading.

What is Cow Protocol (COW)?

Cow Protocol (COW) is an innovative protocol that offers a completely permissionless trading experience without needing a central intermediary. This protocol provides users with a secure and transparent environment for transactions, making it ideal for those seeking decentralization. Cow Protocol stands out with its secure transaction structure, high speed, and liquidity.

What is Cetus Protocol (CETUS)?

Cetus Protocol (CETUS) is a MOVE-based liquidity protocol that leverages the flexibility of the MOVE infrastructure to provide unique liquidity options for its users. This protocol offers opportunities for decentralized finance (DeFi) users to contribute to liquidity pools and earn rewards by providing liquidity. Integrated within the MOVE ecosystem, Cetus combines speed and security.

These new listings present a significant opportunity for users looking to assess the growth potential of the Cow and Cetus protocols in the future. Through Binance, investors can buy and sell both tokens securely.

You can also freely share your thoughts and comments about the topic in the comment section. Additionally, don’t forget to follow us on our Telegram, YouTube, and Twitter channels for the latest news and updates.

The post Binance Announced Listing for These 2 Altcoins! appeared first on Coin Engineer.