The decentralized finance platform R0AR has disclosed a security breach involving its staking contract, resulting in a significant drop in the value of the $1R0R token.
Security Incident and Initial Response
The R0AR team confirmed that the staking contract, holding approximately $785,000 in assets, was compromised by 'a trusted external contractor'. The actor used a backdoor to effect unauthorized fund transfers.
Recovery Measures and Market Reaction
In response to the breach, R0AR initiated a buyback program involving weekly purchases from the open market to mitigate volatility and support token liquidity. Following the announcement, $1R0R registered a price increase of over 250% from post-incident lows.
Community Engagement and Strategic Direction
During a recent AMA session, Dustin Hedrick addressed the incident and outlined the team’s long-term focus on development and security enhancements.
The R0AR incident highlights ongoing security concerns within the decentralized finance space, yet the team's swift response differentiates their handling from other cases of smart contract vulnerabilities.
