Decentralized exchange (DEX) KiloEx has announced its plans to compensate traders and stakers affected by a $7.5 million exploit that caused a temporary shutdown of the platform in April. According to an announcement on April 24, KiloEx will provide full compensation to traders who had open positions during the suspension of the platform, ensuring that any losses incurred will be covered. The platform emphasized the importance of closing positions promptly once operations resume to avoid any further impact on profits and losses, which could subsequently affect the compensation amount. Notably, stakers in KiloEx’s Hybrid Vault will not be affected, as the stolen funds have been fully reinjected into the vault, ensuring that staker earnings and principal remain intact. Additionally, eligible stakers will receive an extra 10% annual percentage yield (APY) as a bonus. In a bid to recover the stolen funds, KiloEx offered a 10% bounty to the hacker responsible for the exploit, with the condition that 90% of the funds be returned. Following indications that the hacker returned the funds, KiloEx withdrew all legal action and rewarded the hacker with a 10% white hat bounty. The exploit that led to the $7.5 million loss was attributed to a price oracle vulnerability, according to security firm PeckShield. The attacker took advantage of this vulnerability to manipulate prices and generate illegitimate profits. In a post-mortem analysis, KiloEx confirmed that the attacker exploited a permissionless function to carry out the attack. Moving forward, KiloEx is focused on resuming normal operations and enhancing security measures to prevent similar incidents in the future.