- AI social platform responds to $11.3 million exploit with contract migration and audit.
- Korean exchange association DAXA launches inquiry into security practices.
- Remediation efforts may reveal additional vulnerabilities in platform architecture.
UXLINK, which faced a security breach on Monday, had provided an update to its users on its upcoming steps to protect the platform and regain trust. The $11.3 million hack raises questions about whether recovery measures will restore confidence or expose additional security weaknesses.
The AI-powered Web3 social platform serving 55 million users has initiated contract migration, security audits, and regulatory compliance efforts following one of 2025’s largest cryptocurrency exploits.
The attack exploited the vulnerabilities in the multi-signature wallet, which allowed hackers to strip admin privileges and install themselves as new owners. Attackers initially stole $4 million in USDT, $500,000 in USDC, 3.7 WBTC, 25 ETH, and 10 million UXLINK tokens before minting up to 10 trillion additional tokens.
Recovery Strategy Tests Platform Resilience
UXLINK’s five-point recovery plan includes passing security audits on new smart contracts, removing mint-burn functionality, and submitting migration details to centralized exchange partners. The platform has frozen numerous hacker-associated addresses while collaborating with law enforcement on asset recovery procedures.
The team’s decision to eliminate mint-burn functions and rely on cross-chain partners for multi-blockchain features suggests the original architecture contained fundamental flaws. This structural change may address immediate vulnerabilities and create new dependencies on third-party services.
Korean exchange association DAXA’s inquiry adds regulatory pressure that could reveal additional compliance gaps. UXLINK must provide comprehensive responses about security protocols, user protection measures, and incident response procedures that may highlight previously unknown weaknesses.
UXLINK Freezes Addresses and Starts Recovery
The situation gained prominence when the original hacker lost 542 million UXLINK tokens worth $48 million to Inferno Drainer, a phishing operation. This twist shows the chaotic nature of the exploit, but doesn’t address underlying platform security concerns.
While UXLINK has frozen addresses and initiated recovery procedures, the scale of unauthorized token minting that nearly doubled the circulating supply raises questions about the platform’s economic model stability. Community compensation promises depend on successful asset recovery, creating additional pressure on remediation efforts.
The audit process for the new smart contract could either validate UXLINK’s security improvements or identify additional vulnerabilities requiring further modifications. Contract deployment on the Ethereum mainnet with removed mint functionality is a conservative approach that may limit future attack vectors.
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Source: https://coinedition.com/uxlink-hack-sparks-audit-migration-and-daxa-review-can-fixes-restore-trust/
