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GMX Completes $44 Million Compensation Plan for GLP Holders on Arbitrum

GMX announced a $44M compensation payout via its dApp in GLV tokens, resolving a V1 exploit that drained $42M through a reentrancy vulnerability, while introducing a $500K incentive pool.

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Fact Check
All provided evidence from multiple, independent crypto news sources consistently and unanimously confirms that GMX has finalized and launched a $44 million compensation plan for GLP holders on the Arbitrum network. The core facts of the statement are strongly corroborated across all sources without any contradiction.
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Summary

GMX declared that users affected by its V1 security breach on Arbitrum can now claim compensation through its dApp, with approximately $44M in value distributed via GLV tokens that mirror the original GLP asset mix. The breach, occurring on July 9, exploited a reentrancy vulnerability and drained $42M, prompting GMX to offer a white-hat bounty which was accepted. In a related development, CertiK reported that crypto hacks and scams cost investors over $2.2B in H1 2025.

Terms & Concepts
  • dApp: A decentralized application operating on a blockchain, enabling direct user interaction with smart contracts.
  • GLV Tokens: Tokens used by GMX for compensation, structured to reflect the asset mix of the original GLP.
  • Reentrancy Vulnerability: A security flaw in smart contracts permitting repeated external calls before state updates, potentially leading to exploits.