Veil releases update on Zerocoin exploit

According to an announcement, Veil ($VEIL) has successfully sealed an exploit that was uncovered in August 2019. In August, an attacker was able to redeem their own zerocoins at a higher value than intended, leading supply to jump by 12,441,690 VEIL. Since then Veil has patched the security flaw that was used by the attacker and released a wallet update that restored trading on exchanges.

In summary the changes made include:

• Zerocoin zero-knowledge proofs removed, lowering spend size and increasing spend-times
• Ill-gotten funds have been blacklisted and restricted from exchange trade
• Stolen balances from zerocoin accumulators once again available for owners to spend
• Other security and protocol-level changes
• The Founder’s Reward portion of the budget will be burnt from years two through five to account for the unexpected inflation.
• The burning of unallocated main budget funds to cover the remaining inflation will also take place, with 2,100,000 veil being removed from circulation.

Read the full update and details on the fix here.

For more information on the August exploit see Veil's official update here.