Nexera, a decentralized finance (DeFi) protocol, destroyed 32.5 million NXRA tokens affected in a recent attack. This step was taken as part of efforts to resolve the incident and was taken to improve security.

According to an X post by blockchain security firm PeckShieldAlert, these 32.5 million NXRA tokens have been permanently removed from circulation. This action ensured that the tokens were completely removed from the market and prevented from being used further.

Additionally, a statement from Nexera’s official X account announced several important steps taken as the second response to the attack. After completing their technical review, the company determined that its smart contracts were not damaged.

However, to reduce the damage caused by the exploit, the Nexera team took immediate action. Once it was determined that the attacker had stolen tokens worth only $440,000 and was affected, the Nexera team froze the remaining 32.5 million NXRA tokens in the attacker’s wallet.

This rapid intervention aimed to prevent the stolen tokens from being further used, traded or circulated in the market. The destruction of 32.5 million NXRA tokens was a significant action aimed at supporting the stability of the Nexera ecosystem and helped protect the market from possible impacts.

Nexera suffered a smart contract security breach on August 7. As a result of this incident, $1.5 million worth of digital assets, including Nexera (NXRA) tokens, were stolen.

The protocol, which aims to combine DeFi with traditional finance, was the target of a large-scale coordinated attack that affected many projects and protocols.

The attacker stole 47 million NXRA tokens worth approximately $1.76 million and began selling some of them for Ether (ETH).

Additionally, he transferred some funds to BNB Chain. The total estimated damage from this situation was determined to be approximately 1.5 million dollars.

In the updates provided by Nexera, it was stated that this exploit was part of a larger coordinated attack. The protocol announced that the existing NXRA token address will not change and there is no need to issue a new token.

Users were warned about addresses that had interacted with the attacker and were strongly advised against trading.

Considering that the attacker interacted with exploit-related addresses on the KuCoin and MEXC exchanges, these exchanges suspended their services, specifically deposits, withdrawals and trading. Additional exchanges were also informed to take similar measures.

This incident follows a similar breach on WazirX, an India-based cryptocurrency exchange.

Just three weeks ago, WazirX lost more than $230 million in a hack, which was recorded as the second largest crypto hack of 2024 so far. Such events bring to the fore again the importance of security risks and regulatory measures in crypto markets.