AFX Trade, a perpetual futures exchange built on Arbitrum, says roughly $24 million was drained from the protocol and has offered the attacker a 30% bounty to return the funds. The details of how the exploit occurred have not been independently confirmed.
What AFX Trade Says Happened on Arbitrum
AFX Trade attributes the loss to a drain of its Arbitrum-based perpetual DEX, a decentralized venue where users trade leveraged derivatives directly onchain. The figure is attributed to AFX Trade itself. For related coverage, see Swiss Bank BancaStato Launches Crypto Trading With Sygnum.
As of this report, AFX Trade has not published a confirmed technical root cause for how the funds left the protocol, and the claim has not been verified through independent onchain analysis. For related coverage, see XRP Whales Accumulate as Small Holders Capitulate: What It Means.
Perp DEXs like AFX Trade sit among a growing field of onchain venues competing with centralized order books, a landscape we break down in our overview of the best perpetual crypto exchanges of 2026. That competition raises the stakes when a smart-contract-based venue reports a loss of this scale. For related coverage, see Russia Legalizes Crypto as Markets Watch for Impact.
Why the 30% Hacker Bounty Stands Out
AFX Trade is offering the hacker 30% of the drained amount in exchange for returning the balance. On the reported sum, that structure would let the attacker keep several million dollars while sending the remainder back.
Such offers are typically framed as negotiated, white-hat-style recovery attempts, giving an exploiter a legal-adjacent off-ramp instead of laundering the full amount. AFX Trade has not indicated that the attacker has accepted or responded to the offer.
The move signals a recovery-focused posture rather than a purely adversarial one, prioritizing getting user funds back over pursuing the attacker first.
What Users and the Market Will Watch Next
The near-term variable is whether any funds are recovered, either through the bounty or through onchain tracing of the stolen assets across Arbitrum.
Users will be watching for official incident updates covering platform operations, individual exposure, and any post-incident security analysis from AFX Trade. Arbitrum remains one of the larger DeFi ecosystems by activity, as reflected in its onchain total value locked, which makes exploit response on the network closely followed.
The episode also feeds a wider regulatory conversation about onchain financial products. U.S. SEC Commissioner Hester Peirce recently suggested that crypto vaults and onchain lending may fall under securities laws, a debate that incidents like this tend to intensify as regulators weigh user-protection risks in DeFi. For now, the case remains a developing incident resting on AFX Trade's own disclosure rather than verified third-party data.
Disclaimer: This article is for informational purposes only and does not constitute financial or investment advice. Cryptocurrency and digital asset markets carry significant risk. Always do your own research before making decisions.