Has USDC been hacked?

Why can someone withdraw more than 1k, causing all liquidity to be pumped out.


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recent proposal that has passed. review the voting page on vires

Yesterday it was only 2.5kk market available USDC. According to the proposal, daily withdrawal limit should have been only 1k per account.

I don’t know how it works, but I guess techically, during broadcast, there could potentially have been a window where there wasn’t a limit and you could withdraw as long as supply was available for it.

If that was the issue as a one time event, the liquidity should return to the USDC pool with time. It looks like however since that massive withdrawal, the liquidity continues to be withdrawn the moment it becomes available suggesting to me that bots might be withdrawing liquidity via exporting Vires USDC LP tokens without limit as per before, which was likely unlocked with the adaptive withdrawal proposal. The new proposal did not specifically address removing the limit on exporting LP tokens but it seems functionally that is what has happened hence my proposal to return to the 1k (including LP exports) per day withdrawal limit and possibly also add a cross token redemption option.

As an update, it looks like the technical issue has been fixed for now.