Proposal: Approve Distribution Of Recovered Funds To LPs Affected By Balancer V2 Exploit

Executive summary

In this proposal we ask the community to verify the amounts of osETH and osGNO to be returned to liquidity providers (LPs) in the osETH-ETH and osGNO-GNO pools affected by the recent Balancer V2 exploit and initiate the distribution. The distribution is set to happen via Merkle Distributor, allowing affected wallets to claim the recovered assets via the Merkle Distributor in the StakeWise UI. Note that we are basing our distribution numbers on the LP token ownership figures provided by the Balancer team.

Motivation

The recent Balancer V2 stable pools exploit across multiple chains has unfortunately affected LPs in the osETH-ETH and osGNO-GNO pools on Ethereum mainnet and Gnosis Chain, respectively. ~6,851 osETH and 13,495 osGNO were stolen alongside some amount of ETH and GNO.

Following a swift attempt at recovering some of the stolen assets, on November 3rd 2025 the StakeWise team was able to return ~5,041 osETH and 13,495 osGNO to the DAO address on behalf of affected users. These funds have been awaiting distribution to the affected LPs since.

In this proposal, we establish a methodology for calculating the fair amounts of osETH and osGNO to be returned to the affected LPs, and put forward two distribution lists, for Ethereum mainnet and Gnosis Chain, respectively, for your approval of the upcoming distribution.

Our methodology:

  1. Look at the LP token balances of all LPs in the osETH-ETH pool (https://balancer.fi/pools/ethereum/v2/0xdacf5fa19b1f720111609043ac67a9818262850c000000000000000000000635) one block before the exploit (23717403).
  2. Distribute ~5,041 osETH proportionately to the number of LP tokens held by each liquidity provider.
  3. Repeat process 1 for the osGNO-GNO pool (https://balancer.fi/pools/gnosis/v2/0x3220c83e953186f2b9ddfc0b5dd69483354edca20000000000000000000000b0) one block before the exploit (42954190).
  4. Distribute 13,495 osGNO proportionately to the number of LP tokens held by each liquidity provider.

The lists of addresses and their corresponding LP token ownership amounts were provided to us by the Balancer team, and were verified internally. The data can be found below:

osETH-ETH LP tokens on mainnet
user bpt gauge aura beefy total
0xe2008b01a2ad0a9aeea9f71ecc6a176138553a61 0 10764.6755177014 0 0 10764.6755177014
0xecff9446b4fac66ab6d8a41933ada98eb66b38d6 0 0.0651310509 0 0 0.0651310509
0x2459ef8c3409a0168e49993fc2f2f4b56042bac7 0 0.019873178 0 0 0.019873178
0x0e1d2024f00aa3f785dc7d27603ce5ddc3b96a26 0 0.0188393404 0 0 0.0188393404
0x43e0775a55a48e6aabeef66560c2b24f8e86c372 0 0.0073490508 0 0 0.0073490508
0xc7a1d2e76d677747f9644ecb43fb293ef7702f82 0 0.0048984291 0 0 0.0048984291
0x99a9fff048daedff00961d178219707b9bc2bce3 0 0.0019883889 0 0 0.0019883889
0x797756431bfeb29a1bb56c558952015d6e20c36d 0 0.0019644302 0 0 0.0019644302
0xa97b7a1ba7fb4be94313ee0b7467b559a69ca470 0 0.0004999623 0 0 0.0004999623
0xa0dfa7e2f16b394afd86fb346ba0250b6568f66a 0 0.0001961209 0 0 0.0001961209
0x22ff9a5afa2b3e294154c561342c04f6293ccc99 0 0.0001033876 0 0 0.0001033876
0xceb38f0318fc32c9f150dbe341a9d9a5a48ac628 0 9.8255293810383e-05 0 0 9.8255293810383e-05
0x406ea761fa359ecf45bda6008cb8c11a782af992 0 7.6479995333702e-05 0 0 7.6479995333702e-05
0x1e77b48b0f5aa424c1106557cd396305307ce11f 0 7.3977361945734e-05 0 0 7.3977361945734e-05
0x65ba947e7a6c563416a3f37906762aaaa92ddaf4 0 6.5297792291554e-05 0 0 6.5297792291554e-05
0x68866a4abaa060d5d0308885cf4b466f1b3513eb 0 6.515120968671e-05 0 0 6.515120968671e-05
0xc0185809810303adf47e1aa38e4b8f379b045d01 0 6.2078395856589e-05 0 0 6.2078395856589e-05
0x2bff0d5bc65b920806a50c5e27b879b05a6538ae 0 5.7657511868356e-05 0 0 5.7657511868356e-05
0x704b2424eba621b5bbf93757bb0de151fb027a63 0 5.5487845284184e-05 0 0 5.5487845284184e-05
0x1b2a960f8a98c6f194cbf44c0a7c717bf06a0c09 0 5.4489441813871e-05 0 0 5.4489441813871e-05
0xb076bf418b3943285e5535b304404165461730bb 0 5.3302893905001e-05 0 0 5.3302893905001e-05
0xc8ce766cc0fbe00fb2ac5c035706585555fbae33 0 4.9972774147859e-05 0 0 4.9972774147859e-05
0x88e51f14c760b7302bfa9d28f99a75a9d2192c59 0 4.9126958053198e-05 0 0 4.9126958053198e-05
0xefa9524ac8703db3a172c605210936a15ec166b1 0 4.9030227668152e-05 0 0 4.9030227668152e-05
0xa8b7680e4c377d7fd684b6b067c37c360fa63d34 0 4.4659781709072e-05 0 0 4.4659781709072e-05
0xede84ad58b69c93626947355cb4084aab6208fee 0 4.3606947859083e-05 0 0 4.3606947859083e-05
0x37ff5bd9aa66980a1c92ec51e6de1e51b0ca3317 0 4.2743732566637e-05 0 0 4.2743732566637e-05
0xb2ce2dc18fbe788a4445d6d7623669896b77e5d6 0 4.148720113327e-05 0 0 4.148720113327e-05
0xd85a7d8ff1188dfa86343667da58d12f82da31da 0 4.0173391449633e-05 0 0 4.0173391449633e-05
0x1d8b48d43a79b587509588c7e4b125db36f35c96 0 3.9194873559132e-05 0 0 3.9194873559132e-05
0xa434e204477ecd41ecbef43bbabf8654c92bcb3e 0 3.9102095235744e-05 0 0 3.9102095235744e-05
0xb24eee0bbec1a73828abcce86a6e5c303765853b 0 3.9005129819301e-05 0 0 3.9005129819301e-05
0xfa34fe311e880c999eea9a17f314430a25134d56 0 3.8734951760387e-05 0 0 3.8734951760387e-05
0x81d63c7d505eaab5211538a8ab3d24399c6138be 0 3.6057839723366e-05 0 0 3.6057839723366e-05
0x4d2e44aba1988f42aa45c4189b8ce343b079dcc2 0 3.5304557723692e-05 0 0 3.5304557723692e-05
0xd2dd1286d35d7bfa3ed0675b09f3bf4dbf3cca86 0 2.2761655679806e-05 0 0 2.2761655679806e-05
0x359bcca1150d6d90127832e24736a49642c0d764 0 2.2733657421042e-05 0 0 2.2733657421042e-05
osGNO-GNO LP tokens on Gnosis Chain
user bpt gauge aura beefy total
0x490b23abbf90797830799f78fad420cf88ece81e 0 73.8813681731 0 0 73.8813681731
0xd145860c3cad12aeec9d8021d36b48d7fad09454 0 71.3314030762 0 0 71.3314030762
0xb7e28e5bc7e256a7a29bbdbcb558a8dc297ca8d7 0 9.624807512 0 0 9.624807512
0x4d864b0ddec2a861506c8baa676e2d99a4c30a84 0 6.2061757093 0 0 6.2061757093
0xb71979375b99ce0752b7f5c7b092c31171c4a7a1 0 5.9808721672 0 0 5.9808721672
0xbc5fba1fef0ba69e401cdf97197d75a5f9d9d4c6 0 5.4301893632 0 0 5.4301893632
0xe2e4bfbd11e40ad260d5bf7701d52ba2f13d15a9 0 5.1385429838 0 0 5.1385429838
0x67aef98e1b78f7b4661c8acc508ed6fbb2d5fb78 0 3.5318706566 0 0 3.5318706566
0x852932cbc3001c0f6f03ac88df3e9a94afb1202e 0 2.0185363899 0 0 2.0185363899
0x034e1f7a66b582b68e511b325ed0ccb71bb4bc12 0 1.2660187239 0 0 1.2660187239
0x4c501ebd8372c3357732aa41fb351ef3bb150939 0 1.0427641293 0 0 1.0427641293
0xf10581d6ba3d531bc3ce9b24af359089fe7616f1 0 0.7791285033 0 0 0.7791285033
0xa75f653684df8355f970db10926befe7665ef704 0 0.5237861589 0 0 0.5237861589
0x0ae57350662045c32b34f3b1e70c36e4ef1502e2 0 0.4476341304 0 0 0.4476341304
0xa3c66134d9c88c6c0b3e9c488ea2b330a8a61d8a 0 0.1934779073 0 0 0.1934779073
0xff8fe929ef87f2c840ab9208175298c557ecd53b 0 0.1031604153 0 0 0.1031604153
0x03c2bfd2509de9b13d0124015077e100a292336d 0 9.9425140069372e-05 0 0 9.9425140069372e-05

Based on the numbers above, the amount of osETH and osGNO to be distributed to the affected LPs is as follows:

Distribution to osETH-ETH LPs
account osETH
0xe2008b01A2AD0A9AeEA9f71ecC6A176138553a61 5041.0657568025
0xeCfF9446b4FaC66ab6d8A41933aDA98eb66b38d6 0.0305006788
0x2459Ef8c3409A0168E49993FC2F2F4b56042bAc7 0.0093065506
0x0E1d2024F00aa3f785dc7d27603ce5dDc3B96a26 0.0088224075
0x43e0775A55a48E6aabeeF66560C2b24f8E86C372 0.0034415388
0xc7a1d2E76D677747f9644EcB43Fb293EF7702f82 0.0022939199
0x99A9FFF048DAedfF00961D178219707B9bC2BCE3 0.0009311566
0x797756431bfeb29A1Bb56C558952015d6e20C36D 0.0009199369
0xA97B7a1ba7Fb4BE94313ee0b7467B559a69CA470 0.0002341309
0xA0DFa7e2F16b394AFd86fb346BA0250B6568F66A 9.1842843336307E-005
0x22fF9A5AFA2B3E294154c561342c04f6293CcC99 4.8416092078333E-005
0xcEb38F0318fC32C9f150Dbe341A9d9A5a48ac628 4.601266394306E-005
0x406eA761FA359Ecf45bDA6008cb8c11a782af992 3.5815355968989E-005
0x1e77b48b0F5AA424c1106557cD396305307cE11f 3.4643380143691E-005
0x65ba947E7a6C563416A3f37906762aAAA92dDaF4 3.0578763305448E-005
0x68866A4AbAA060d5d0308885cf4B466f1B3513Eb 3.0510119104459E-005
0xC0185809810303adF47E1aA38e4B8f379b045d01 2.9071129461847E-005
0x2BFF0D5Bc65b920806A50C5E27b879B05a6538aE 2.7000842545049E-005
0x704B2424eba621B5BbF93757Bb0De151fB027A63 2.5984794090716E-005
0x1b2a960F8A98c6f194CBf44C0A7c717bF06a0c09 2.5517244693859E-005
0xb076bf418B3943285E5535B304404165461730bb 2.4961587812017E-005
0xc8CE766cC0Fbe00Fb2ac5C035706585555FBae33 2.3402102563606E-005
0x88E51F14C760B7302BFa9D28f99A75A9d2192C59 0.000023006
0xEfa9524AC8703DB3a172C605210936A15ec166b1 2.2960710830504E-005
0xa8B7680e4c377d7fD684B6B067c37c360fA63d34 0.000020914
0xEDe84Ad58b69c93626947355Cb4084aAb6208fee 0.000020421
0x37Ff5Bd9aA66980a1C92EC51E6De1E51B0Ca3317 2.0016763738514E-005
0xb2CE2dc18FBe788A4445D6D7623669896B77e5D6 1.9428333778811E-005
0xd85a7D8fF1188Dfa86343667dA58D12F82Da31dA 1.881308058365E-005
0x1d8B48d43a79B587509588c7e4b125DB36F35c96 1.8354843545096E-005
0xa434E204477Ecd41eCbef43BBabf8654c92Bcb3e 1.8311395730228E-005
0xb24EeE0bBEC1A73828ABcCe86A6E5C303765853B 0.000018266
0xfA34fe311E880C999eeA9a17F314430A25134D56 1.8139463524895E-005
0x81D63C7d505EAab5211538a8Ab3D24399C6138be 1.6885779863483E-005
0x4d2e44abA1988f42aa45C4189b8cE343B079DCc2 0.000016533
0xd2dd1286d35d7BFA3ed0675b09F3bf4DBf3Cca86 1.0659216139577E-005
0x359bcca1150d6D90127832E24736a49642c0D764 1.0646104637677E-005
Distribution to osGNO-GNO LPs
account amount_gno
0x490b23aBbf90797830799F78Fad420cf88ECe81E 5317.863994106
0xd145860c3cAD12AeEc9D8021d36B48d7fAd09454 5134.3215407008
0xb7E28E5bc7E256a7a29bbdBCB558a8dc297Ca8d7 692.7784174022
0x4D864b0DdEC2A861506C8bAA676E2D99A4c30a84 446.7107088242
0xb71979375B99Ce0752B7f5C7b092C31171C4A7a1 430.4937163182
0xBc5fBa1FEf0ba69E401Cdf97197d75a5f9d9d4C6 390.8564393123
0xE2E4BFBD11E40AD260D5Bf7701D52Ba2F13d15a9 369.864194338
0x67Aef98E1B78f7b4661c8aCc508ed6FbB2d5Fb78 254.2184621231
0x852932cbC3001C0f6F03ac88dF3E9a94AFb1202E 145.2910558371
0x034e1f7A66b582B68E511B325ED0cCB71bb4bc12 91.1260247927
0x4c501Ebd8372c3357732AA41FB351EF3Bb150939 75.0565122788
0xF10581D6Ba3d531bc3ce9B24Af359089FE7616F1 56.0804370176
0xA75f653684DF8355f970db10926bEfE7665ef704 37.7012990396
0x0AE57350662045c32B34f3b1E70C36E4EF1502E2 32.2199965078
0xa3C66134D9c88C6c0b3e9C488eA2b330a8a61d8A 13.9262336677
0xfF8FE929eF87F2C840Ab9208175298c557ecd53B 7.4253234868
0x03C2bFd2509dE9b13d0124015077e100a292336D 0.0071564643

Specification

With this vote, 5,041 osETH and 13,495 osGNO will be transferred from the StakeWise DAO addresses to the Merkle Distributor addresses on Ethereum mainnet and Gnosis Chain, respectively. The two distribution lists provided above will be supplied to the Merkle Distributor contract by the team to enable the distribution to begin. There will be no time limit on claiming the funds.

Considerations

Barring any errors in the distribution lists, this is a straigthforward refund process that has previously been used to refund staking fees to Boost users, and retroactively distribute incentive tokens like SSV in StakeWise Vaults using the technology.

Discussion & vote

The Snapshot vote has been created here: https://v1.snapshot.box/#/stakewise.eth/proposal/0x9e28b6b05d8252d792c07bcdbb3e828fb1cf3f4c9e3d9df1472aded4afab0095

Please share your comments & thoughts on the proposal, and feel free to verify our distribution list independently!

UPD 27 Nov: following communication with users in Discord and the team at Balancer, it has become clear that some LP tokens have not been accounted for; the Snapshot has been suspended for now and is pending a recalculation of LP token amounts by the Balancer team.

UPD 5 Dec: the new Snapshot vote with the latest distributions is live.

3 Likes

GM StakeWise, MAXYZ here. We are responsible for onchain operations and the occasional analytics over at Balancer DAO.

To determine user balances at the time of the exploit, we ran comprehensive queries aggregating holdings across balancer pool tokens (BPTs), gauge deposits, Aura gauge deposits, and Beefy vault positions. Snapshots were taken in blocks a bit earlier than mentioned above; see the GitHub repo for exact details: https://github.com/maxyz-xyz/balancer-upscale-exploit-shares.

For the two StakeWise pools in question we have uploaded the resulting csv files. After filtering out users with a share value <$1, we get to the following share percentages: https://github.com/maxyz-xyz/balancer-upscale-exploit-shares/blob/main/output/shares_stakewise_filtered.csv

Extensive double checks were carried out on user sums and total supply, but please do verify this data for your individual case. We welcome any feedback.

1 Like

@maxyz.xyz Can confirm that the amount for aura is good.

Btw, do we know what happened with these amounts? Is GNO from GNO/osGNO pool stolen or it is under control of Gnosis/Balancer and will be somehow returned as well? (there was some mention of hard fork).

I believe the stolen GNO is still in Balancer contracts but belongs to the attacker. The hard fork is supposed to claw it back from them for consequent redistribution to affected LPs.

2 Likes

Hi everyone!

Based on the balance shares provided by @maxyz.xyz, please find the upcoming distributions below.

osETH amounts

account amount
0xe2008b01A2AD0A9AeEA9f71ecC6A176138553a61 4580.537193361446949371
0x837B03bDFb4A7eFC697d074c0F763F341404F042 459.623464773359624945
0x24CA662e8A30060c997827858c7fC8908a8f61AB 0.595882442584726779
0xc687f96D50f70E20bd2C038901BF13a6c5E6d78E 0.212213036322481337
0xce88686553686DA562CE7Cea497CE749DA109f9F 0.095968299103563839
0xeCfF9446b4FaC66ab6d8A41933aDA98eb66b38d6 0.027714277200537813
0x2459Ef8c3409A0168E49993FC2F2F4b56042bAc7 0.008456346937683482
0x0E1d2024F00aa3f785dc7d27603ce5dDc3B96a26 0.008016432949596255
0x34446a4959D2768Fca4e96e7985D1eA59097EF81 0.004202498003647392
0x43e0775A55a48E6aabeeF66560C2b24f8E86C372 0.003127135656532021
0xc7a1d2E76D677747f9644EcB43Fb293EF7702f82 0.002084357905514231
0x99A9FFF048DAedfF00961D178219707B9bC2BCE3 0.000846090451123218
0x797756431bfeb29A1Bb56C558952015d6e20C36D 0.000835895681416869
0x9745e415C9cAeD2c93593e06e9956456BBd84ecf 0.000629970260070378
0x17361d60486c4512416a8090E1Bf4e90D2B4A5A2 0.000424102933835577
0x001be549fa377710B9e59d57bbdf593CE1e379ca 0.000423790840029439
0x7F429edeff8afC7Bb3A2CF7DB832Fc86f6FA99DA 0.000422921131047498
0xcE12c431535836342d77bC6322092FB950637322 0.000420786906361682
0x9f6b45ce66A7eE315D56979D031987dEC75cA57E 0.000414973632800812
0xA97B7a1ba7Fb4BE94313ee0b7467B559a69CA470 0.000212741769015027

osGNO amounts

account amount
0x458cD345B4C05e8DF39d0A07220feb4Ec19F5e6f 7857.253959175781569905
0xD142c9cfE2F0BEF4c14594358fB65aeE1B726d2C 2463.809491367811436512
0xb0e83C2D71A991017e0116d58c5765Abc57384af 1844.983393148906262245
0xf7b5ABD83EB69DBb3Fed16D998B9E36291b0054D 253.658893913796715385
0xFaC964684c3a72b0485e42a78EAc5f78428C4aF0 205.139480564779663692
0x5eb15a77C676A330B42C86Af647aA883d2Ef6242 124.135724753618755499
0xC69aDcA4485C0C494f34e9Aa6b0A31f343f76411 79.049192649545112410
0xC4a69FBf4511A1377161834Cb7a3B8766953dB02 73.263980563002995823
0x72475B89cEf058311Bec44c592E06805dA24EE89 59.047772254976691845
0xfd0fB98B099f0D0ed214391e0eF0B81A6b89E000 51.846784543916864978
0x026dc72f815A4bfe617E672F224411621d86A22e 50.714027809663923221
0x490b23aBbf90797830799F78Fad420cf88ECe81E 48.127159924796613853
0xd145860c3cAD12AeEc9D8021d36B48d7fAd09454 46.466083782606213212
0x884898480d7a1223ec55Cb1aBA92DBd46A643744 43.257787424532239129
0x16Ce1B15ed1278921d7Cae34Bf60a81227CFC295 33.366582541332787329
0x450BC6199a9563924EF027620b9b3d731c80Fe47 31.205167468216358297
0x371B75388b95073E903648ABbB205df1295f5Ee3 29.114998615069765734
0x5f50d1cD1f9b18326C9D96589fe8C189AD9df4cE 23.450181741442049659
0xa6822D0959e5767222C8bc72325551d4f0C8Bda3 23.428592303284721844
0x220033bD82e47eE5D0cc9Cba5E42f5302D2Bc2F7 18.373662131862215025
0x8Fe6FDB69B7F3f00B82948C6c252ca772baA2E82 13.711409780097901273
0x36f4E1803f6fF34562dB567f347dea00DeC87246 13.630308755587899724
0xae0cb53050114D8145f1F2062E1Ff3D6F43eA28a 13.071947307325811114
0x2d51395f99F3196AEBf3431e28545DB26BBa5A58 9.502148319265504959
0x8Db060f048DCDb83F3a81fB269cfde5F30349ED4 9.101528669675900868
0x8B15722C80C99142Ef53BE5f584C3bC1C60E3244 7.352148954471465350
0x935015f87dDb65fe5C26a42a85D1aBFcd9543AD2 6.883215886066583464
0xbB5612c822Ee2AFc73240408791b1FE3f8BF816D 6.524975954813012051
0xb7E28E5bc7E256a7a29bbdBCB558a8dc297Ca8d7 6.269708613028690907
0x1465cBd50D9Ef2881BE078781d8Ac23F5955F03D 5.360953215044687208
0x31453f95369fC974Ca0F56f49b040319087b3c34 4.521740009098060249
0x4D864b0DdEC2A861506C8bAA676E2D99A4c30a84 4.042773141157576616
0xb71979375B99Ce0752B7f5C7b092C31171C4A7a1 3.896007862335424284
0xC960338B529e0353F570f62093Fd362B8FB55f0B 3.663427701182369570
0xBc5fBa1FEf0ba69E401Cdf97197d75a5f9d9d4C6 3.537286847363707003
0xE2E4BFBD11E40AD260D5Bf7701D52Ba2F13d15a9 3.347305093001711416
0xCB823645E1aF8712e55E11097d792A180CBD8131 3.282990616539350728
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