Linea, the layer-2 solution of Ethereum known for its zkEVM technology and significant value locked, recently faced scrutiny for its actions following a hacker attack on the decentralized exchange Velocore. The project's team manually paused block production to prevent a hacker's address from accessing additional funds, disrupting the network temporarily. This decision, viewed as contentious by the crypto community, highlighted Linea's centralized operational reliance amidst aspirations for greater decentralization.

The block production suspension, occurring at a pivotal moment, enabled Linea to evaluate the situation and collaborate with Velocore to address the exploit. Despite the value at stake and criticism from observers regarding decentralization principles, Linea emphasized its commitment to a censorship-resistant environment and expressed intent to evolve into a fully decentralized network.

In response to the exploit, both Linea and Velocore teams took proactive measures, engaging in on-chain discussions and coordinating with exchanges to safeguard affected assets. The Velocore team issued a detailed post-mortem report outlining the impact on users and outlining restitution efforts. These actions underscore industry efforts to mitigate vulnerabilities and enhance security in the decentralized finance space, emphasizing the importance of continuous innovation and collaboration in safeguarding user assets.