Decentralized exchange Bunni ceases operations after $8.4 million hack…second this week

Decentralized exchange (DEX) Bunni will suspend operations due to funding difficulties following a hack in September. It is the second crypto project to declare closure just this week.

On the 23rd (local time), Cointelegraph reported that the Bunni team said in an official statement, "Recent hacks have halted our growth, and restarting monitoring and audits to strengthen security would require at least 6–7 digits (hundreds of thousands to millions of dollars), but we lack the funds." The team added, "We cannot cover development and operating costs in the current situation, so we are ending the project."

On September 2, Bunni had approximately $8.4 million worth of assets stolen from Ethereum and the layer-2 network Unichain. The attacker is believed to have exploited a vulnerability in the codebase. Before the hack, Bunni's deposits (TVL) grew rapidly from $2.23 million in June to $80 million in August, but operations were suspended after the incident.

Along with ceasing operations, Bunni changed its smart contract license from the Business Source License (BSL) to the MIT License. This allows other developers to freely use Bunni's liquidity distribution function, surge fees, automatic rebalancing features, etc. The community reacted positively, calling the move "a meaningful step to open up the technology Bunni leaves behind."

Meanwhile, the founding team of layer-1 blockchain Kadena (KDA) also announced on the 22nd that it would cease operations due to market deterioration. The network will be maintained by the community, but the token plunged 70% to trade at $0.06.