Kyber Network, the team behind the decentralized finance (DeFi) protocol KyberSwap, has significantly reduced its workforce by 50% following a substantial exploit in November, which resulted in a loss of $48.8 million. Victor Tran, the CEO of Kyber Network, described the decision to lay off half of the team as heart-wrenching, a move made to sustain business operations and manage capital expenditure. Despite these challenges, the core business functions, including KyberSwap’s Aggregator and Limit Order services, remain operational. The company is set to launch the Zap API, aimed at enhancing user access to DeFi liquidity protocols. Kyber Network has also initiated a Treasury Grants Program to reimburse impacted customers, albeit only 60% of the nearly $49 million calculated loss. An additional $6.6 million was stolen in subsequent attacks on front-run bots. The Kyber team's attempt to negotiate with the hacker, who demanded complete control over the company, including its assets and governance mechanism, was unsuccessful.
Disclaimer: Please note that the information provided in this article is based on the referenced research articles. It is essential to conduct further research and analysis before making any investment decisions. The cryptocurrency market is highly volatile, and investors should exercise caution and consult with financial professionals before engaging in cryptocurrency trading or investment activities.
