• Bitcoin
  • NFT
  • Binance
  • ETH
  • DeFi
  • Metaverse
  • IDO
  • Coinbase
  • Solana
  • ETF
  • FTX
  • GameFi
Newsletter
  • Home
  • Crypto News
  • Market
  • Learn
No Result
View All Result
  • Home
  • Crypto News
  • Market
  • Learn
No Result
View All Result
CoinLive
No Result
View All Result
Home Crypto News

GMX Exploit Reveals Design Flaw, $42M Lost

189
SHARES
1.5k
VIEWS
Share on FacebookShare on Twitter
Key Takeaways:

  • GMX lost approximately $42 million due to a design flaw.
  • SlowMist identified the vulnerability in GMX v1.
  • Trading paused, a bounty offered for fund return.

gmx-exploit-reveals-design-flaw-42m-lost
GMX Exploit Reveals Design Flaw, $42M Lost

GMX v1 on Arbitrum suffered a $42 million exploit on July 10, 2025, due to a design flaw, identified by security firm SlowMist, prompting immediate protocol suspensions.

The exploit exposes potential vulnerabilities and underscores the challenges in ensuring DeFi security, swiftly impacting market confidence.

The security breach at GMX revealed vulnerabilities in their v1 design. Users suffered significant losses when hackers exploited this flaw to manipulate GLP token prices, draining funds from the liquidity pool.

Key players include SlowMist, who identified the vulnerability, and the GMX Core Team, who took prompt action by suspending trading activities and offering a 10% bounty for the return of stolen assets.


Financial markets saw immediate repercussions. The value of GMX’s governance token fell sharply. The exploit resulted in a loss of public trust, underlining the need for robust security measures in DeFi platforms.

“The vulnerability arises from the immediate update of the global average price when handling short positions. This price directly affects the calculation of the total asset under management (AUM), leading to potential manipulation of the GLP token price.” – @im23pds, CISO, SlowMist

The loss affected major stablecoins like USDC and pressured DeFi protocols to tighten security defenses. It highlighted vulnerabilities in decentralized mechanics, impacting their usability and trustworthiness among users.

Historically, design flaws and reentrancy vulnerabilities have plagued the DeFi sector. This incident accentuates the importance of continual security audits and improvements, aiming for safer crypto ecosystems. The event forecasts heightened scrutiny and innovation in crypto security.


Related articles

UK Targets Crypto Traders in Tax Compliance Initiative

July 10, 2025

Bitcoin Surpasses Previous High, Hits $112,000

July 10, 2025
Share76Tweet47

Related Posts

UK Targets Crypto Traders in Tax Compliance Initiative

by shark
July 10, 2025
0

UK government targets cryptocurrency traders with new tax compliance rules, impacting BTC and ETH holders, estimated to boost revenue by...

Bitcoin Surpasses Previous High, Hits $112,000

by shark
July 10, 2025
0

BTC reached a new all-time high of $112,000 on July 9, 2025, highlighting increased institutional adoption and market confidence in...

Tether Holds $8B Gold in Secret Swiss Vault

by shark
July 10, 2025
0

Tether stores $8B gold in Swiss vault, impacting cryptocurrency reserves and market dynamics.

OpenAI to Launch AI-Powered Browser Amid Competition

by shark
July 10, 2025
0

OpenAI plans an AI-powered browser using Chromium, impacting digital markets, challenging Google's dominance.

Amazon Prime Day Sales Report a 41% Decline

by shark
July 10, 2025
0

Amazon's Prime Day sales drop by 41%, insights by John Shea.

Load More

Tags

analysis announces Bank billion Binance Bitcoin Blockchain BTC CEO Coin Coinbase Crypto cryptocurrencies Cryptocurrency DeFi ETH Ethereum Exchange Finance FTX fund game General News Information Investment Latest Launch launches market Metaverse million Network News NFT platform Price project Protocol Review SEC Solana Token trading users wallet

Recent Posts

  • UK Targets Crypto Traders in Tax Compliance Initiative
  • Bitcoin Surpasses Previous High, Hits $112,000
  • Tether Holds $8B Gold in Secret Swiss Vault
  • OpenAI to Launch AI-Powered Browser Amid Competition
  • Amazon Prime Day Sales Report a 41% Decline
  • GMX Exploit Reveals Design Flaw, $42M Lost
  • Pumpfun Pre-Sale Removed from Gate.io
  • US Tariffs on Iraq and Libya Impact Crypto Markets: Bitcoin and Ethereum Decline
  • About
  • FAQ
  • Contact Us
  • IGO
  • Altcoin
  • Terra
  • Launchpad
  • P2E
  • META
  • AXS
Email us: [email protected]

© 2021 CoinLive - Crypto News 24/7

No Result
View All Result
  • Home
  • Crypto News
  • Market Analysis
  • Learn

© 2021 CoinLive - Crypto News 24/7