Cetus Protocol Bounces Back: Hack Foiled, Trust Restored!

Cetus Protocol Recovers from Hack with Strong Community Backing

Cetus Protocol, a leading player in the Sui blockchain's DeFi world, faced a big challenge when the hackers embezzled funds from the platform but now it has started to recover. Recently, the Sui community came together and passed an important vote within 48 hours. The 90.9% vote made it possible to move the frozen funds worth about $160 million into a safe multi-signature trust wallet. This wallet is now controlled by three trusted teams, Cetus Protocol, the Sui Foundation, and OtterSec, a blockchain security firm. For many in the crypto world, this showed the strength of teamwork. People online called it a “power move” and said it was inspiring to see a project bounce back so fast. Others shared that it reminded them of how important strong partnerships are in the world of DeFi.

Source: X

The Plan to Bring Everything Back Online

Now that the funds are safe, the Cetus Protocol team is working day and night to bring the platform back. They’ve created a clear plan to fix things, which includes restoring pool data, upgrading smart contracts, and getting everything ready to restart. One of the biggest changes is the upgrade to the CLMM contract, which is already done and now being reviewed. Because the attacker swapped many tokens during the exploit, the team has to carefully convert assets back to their original forms without causing too much price movement. 

Source: X

They also plan to offer a compensation contract for anyone who had losses. This level of care has made many users feel hopeful. One user said, “It’s clear they’re taking every step seriously, and I’m glad they’re being so open with us.”

Community Support Keeps Growing

The Cetus Protocol isn’t just fixing the tech. They are also willing to keep everyone in the community updated on the improvements and actions. To do so, they’ve planned a public chat on X scheduled for June 2, 2025. In this chat, the team will talk about the hack, explain what they’ve fixed, and answer people’s questions. Many users, even those impacted, said they appreciated the honesty and the way DEX has handled the situation. The community may be bruised, but it’s still standing strong, and backing the team. The coming week will be difficult, but they're on track to come back stronger.

Looking Ahead

The full restart of the Cetus Protocol is planned for next week. Once everything is ready, all functions will come back online, including LP (liquidity pool) features. People with funds in the affected pools will get access to their money again, and losses that couldn’t be recovered will be covered through the new compensation contract. The pools that remained unaffected by the incident will continue to function normally. Yet, this incident sent shocks in the crypto world. It served as a clear reminder that resilience isn't just a buzzword, rather it’s the heartbeat of strong communities and dedicated teams.

As Cetus Protocol restarts its path forward towards recovery and re-establishing itself, eyes across the DeFi landscape remain fixed on its progress. While the road ahead still holds challenges, one thing is evident: the team behind the leading decentralized exchange is in it for the long run, more determined than ever for enhancing protocol's security and strength for everyone involved.