The Polkadot decentralized financial network that hosts the aUSD ecosystem has stated on its official Twitter that it will cease operations on Acala after seeing Honzon* protocol configuration issues that have affected aUSD.
*The Honzon protocol is a new DeFi platform that focuses on the creation and trading of kinetic assets on-chain
Therefore, any information will be reported after the investigation is completed and network operations are normal.
Hackers have made off with over 1.2 billion aUSD after gaining access to the network. This caused assets to drop by 70%! Even so, aUSD was still nursing losses at the time of the report.
This is due to market sentiment that remains in a bearish state. The asset also fell to $0.88 shortly after aUSD hit a high of $1.03 for the first time since June 30.
Also, the next steps to further develop its assets and platform will not be announced until the compromise is fixed. It is understood that Native stablecoin of the polkadot ecosystem aUSD is a stablecoin based on decentralized collateral crypto.
AUSD is minted through the Collateralized Debt Positions (CDP) system which was launched in February 2022. In the meantime, the stablecoin is decided on the value of USD which makes 1aUSD equal to 1 Dollar.
Besides Acala, many other DeFi protocols have also been attacked this year. For example, CurveFinance was once attacked by hackers who later revealed that the DeFi protocol lost $570,000.
Although networks make disclosures after each attack, the commitment to tighten security is uncertain and the direction of the market in the long term remains unclear.
