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Arcadia Finance users are reimbursed by DeFi hack insurance.
Nexus Mutual, a decentralized insurance platform, has reimbursed $250,000 to affected users in the Arcadia Finance hack in mid-July, which caused $3.5 million in damages using USDC and USD on the Base blockchain. The hackers withdrew funds directly from users' wallets and converted them to Wrapped Ether (WETH).
After a waiting period of 14 days, the victims began submitting claims for compensation from July 29. The payout is made in collaboration with OpenCover, the insurance provider on the Base.
Nexus Mutual emphasizes that DeFi carries risks, particularly from smart contract vulnerabilities, but decentralized insurance helps mitigate losses and strengthen trust. Since 2020, this platform has paid out over 18 million USD and currently maintains over 100 million USD in active coverage.