Discover Rifampicin (RIF), a Solana-based token merging decentralized science with longevity research on Pump.science. Explore live experiments, gamified funding and predictions.

Rifampicin (RIF) is the gamified compound token for the Rifampicin experiment, representing longevity research conducted with the compound Rifampicin. As part of the 

 (DeSci) movement spearheaded by Molecule and 

, RIF is connected to the Pump.science platform, which leverages blockchain’s decentralized nature to democratize access to research and innovation.

This guide explores what Pump.science is, the RIF token (including its launch and trading) and the way Pump.science seeks to address critical challenges within longevity research.

 highlights three core challenges in developing life-extending interventions.

Traditional research, such as that conducted through human and mouse trials, is often slow and expensive. With more potential drug molecules than atoms in the universe, high-throughput methods are essential. Pump.science leverages blockchain and gamification to balance speed, cost and quality, accelerating discoveries while maintaining data integrity.

 is a blockchain-based research protocol that democratizes the process of conducting and funding scientific experiments, with a focus on longevity research. By breaking down barriers to scientific innovation, Pump.science fosters a more inclusive and creative environment for discoveries.

The platform allows users to propose longevity-focused drug regimens, test them on experimental platforms such as 

 (with plans to expand to other models) and retain ownership of the resulting intellectual property (IP). Results are transparently shared for community review and collaboration.

Think of it as a virtual arena for scientific experimentation, in which regimens compete to extend lifespans. The Colosseum is now a petri dish, the gladiators are microscopic organisms and their weapons are cutting-edge longevity strategies.

How Pump.science Aims to Solve the Longevity Trilemma

Pump.science uses tools such as WormBot to gamify research, creating a Percentage Life Extension (PLE) score as a benchmark for success. Here’s how the basic process works:

This approach reduces research costs, democratizes participation and introduces a transparent, collaborative system for scientific advancement.

Pump.science is a blockchain-based platform that decentralizes and funds longevity research through gamified experimentation. Its process includes the following steps:

This milestone-driven approach combines accessible funding with transparent experimentation, enabling a collaborative and efficient path to discovering effective longevity compounds.

Pump.science integrates decentralized funding with structured, milestone-based experimentation, ensuring each stage is financially feasible and tied to measurable thresholds, as follows:

These thresholds are informed by extensive analysis of historical trading data on platforms like 

, ensuring alignment between funding goals and realistic market behavior.

Efficient and Transparent Research Funding

This structured funding model reduces reliance on centralized gatekeepers, enabling community-driven innovation and collaboration.

 (RIF) is a token on the Solana blockchain that represents ownership in longevity experiments using the compound Rifampicin. Traditionally an antibiotic, Rifampicin is gaining attention for its potential anti-aging properties. Studies of 

 (worms) suggest Rifampicin enhances cellular defenses against stress and damage, extending lifespan by maintaining protein quality and reducing oxidative stress.

On Pump.science, investors can fund and monitor real-time experiments by using RIF tokens.

The RIF token represents intellectual property and experimental rights for Rifampicin on Pump.science. Participants can trade the token and view data from studies that assess its impact on longevity. Its tokenomics ensure efficient funding, as well as transparency and scalability for advancing scientific discovery.

As trading scales, RIF tokens empower participants to fund and benefit from transformative scientific breakthroughs.

 (FDV) of $42 million, reflecting its total supply of 1 billion tokens. Its price performance indicates its potential, as follows:

Pump.science’s clear and ambitious road map for 2025 indicates that the platform is set to expand its impact on decentralized longevity research.

By integrating RIF tokens and leveraging blockchain for funding and data sharing, Pump.science is transforming longevity research into a collaborative and gamified frontier.

Rifampicin (RIF) is now available to trade as a Bybit Perpetual contract. Trade 

Intermediate

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Rifampicin (RIF): Gamified Decentralized Science

Fuel (FUEL) redefines Ethereum Layer 2 with modular design, parallelized transactions, and developer-friendly tools, enabling scalable, low-cost DApps.

 blockchain solutions have mushroomed over the past few years. As a result, developers have a solution for building efficient, low-cost and scalable 

 (DApps), a phenomenon mainly driven by Ethereum's network congestion, poor scalability and high transaction costs. However, many of these Layer 2 networks continue to suffer from performance issues, albeit not to the extent of 

 network. Some blockchain technicians have attributed such performance limitations to the monolithic nature of these platforms.

Fuel is a Layer 2 solution for the Ethereum blockchain that aims to address these problems by adopting a highly modular design and technical innovations such as parallelized transaction processing. Having started as an 

, one of the first of its kind within the world of Ethereum, Fuel has evolved into a modular, high-performance execution layer designed to help developers build scalable DApps. While offering an efficient, high-performance execution layer, Fuel utilizes Ethereum's own data availability (DA) and 

First introduced in 2020, the Fuel project entered a new era at the tail end of 2024 with the launch of its native token, FUEL, and a sharper focus on providing high-performance execution layer infrastructure.

 (FUEL) is a Layer 2-focused blockchain infrastructure project offering a high-performance modular execution layer while utilizing Ethereum’s Layer 1 DA and consensus layers

.Fuel was initially launched in December 2020 as one of the earliest optimistic rollups for Ethereum. Over the next several years, the project’s team refocused their efforts on delivering a modular, scalable Layer 2 solution with its own execution layer, externalizing the DA and consensus layers.

The result of this new approach is the current Fuel network, sometimes referred to as Fuel V2, which acts as what the project has called an operating system for Ethereum rollups. In essence, Fuel V2 offers developers a convenient and flexible way to launch rollup networks and DApps that leverage Fuel's modular architecture principles — an internal and highly scalable execution layer interacting with Ethereum's DA and consensus layers.

Rollups developed using the Fuel framework will feature significant mutual interoperability, in addition to the core benefits of scalability, low costs and Ethereum-supported security. The project’s team launched the first of these Fuel-powered rollups, Fuel Ignition, in October 2024.

As of early 2025, Fuel is actively building an infrastructural ecosystem to support Fuel Ignition and other Fuel-based rollup networks. For instance, users can already take advantage of the platform's native 

, Fuel Wallet, which lets them interact with DApps based on Fuel-powered rollup networks.

Fuel is also actively working on decentralizing its network to enhance security and performance. While a typical rollup solution uses a single sequencer node, a key network actor responsible for both block-building and proposing blocks to the underlying Layer 1, Fuel separates the roles of the builder and the proposer between distinct nodes. Fuel has already completed Phase 0 of its sequencer decentralization initiative, and operates 12 proposers and a single builder. Phase 1 will introduce multiple builders, along with around 100 proposers. The final stage of decentralization, Phase 2, is envisioned to feature as many as 10,000 sequencer proposers.

Fuel aims to be developer-friendly, and offers blockchain developers a toolbox called 

 to facilitate easy scripting and deployment of 

The project's developer is Fuel Labs, a Vancouver (Canada)–based blockchain development company founded by John Adler and Nick Dodson in 2019.

Fuel-based rollups boast performance and security benefits, thanks to several technological innovations, particularly a modular design, a highly secure 

 address model and parallelized transaction processing.

Fuel's technical advantages are based on architectural modularity. Most other rollups use Ethereum Layer 1 only for consensus, internalizing their execution and DA layers. Sidechains, another popular Layer 2 network type besides rollups, often keep all three blockchain layers under the hood. Such monolithic designs may limit scalability or security — or both.

In contrast, Fuel internally handles only the execution layer, allowing the overall platform to remain highly flexible and adaptable. Some other modular rollups adopt the same approach, but they often outsource their DA layers to partnering DA providers, many of which are small projects with less established security profiles. Fuel, on the other hand, utilizes Ethereum Layer 1 directly for both DA and consensus. Since Ethereum is one of the industry's most secure and decentralized platforms, Fuel's overall modular setup enjoys high levels of security.

Another key security advantage of Fuel stems from its UTXO transaction model. While Ethereum and many Ethereum-linked Layer 2 chains employ an account-based model, Fuel utilizes a UTXO setup in which each network address contains unspent amounts from earlier transactions, and each transfer represents an exchange of these unspent funds. First implemented by 

’s blockchain, UTXO is regarded as more secure than Ethereum's account-based model, particularly with regard to protections from 

Fuel's UTXO model also features another critical performance advantage — namely, support for parallel transaction processing. At runtime, Fuel's processing engine determines which transactions don't overlap, in terms of the addresses and UTXO amounts involved. Non-overlapping transactions are then processed in parallel, delivering significant scalability and throughput advantages.

FuelVM is the platform's processing engine. Fuel's virtual machine (VM) is a register-based system designed to optimize performance and parallelized transaction execution. Register-based VMs are one of the two most popular types of VMs, along with stack-based systems like 

 (EVM). Within a stack-based VM, data is stored in and retrieved from a temporary memory stack during transaction processing. In such systems, data pieces are stored and accessed in a last-in, first-out (LIFO) fashion, creating performance bottlenecks, such as a need for frequent instructions or a lack of direct access.

In contrast, a register-based system such as FuelVM processes data pieces held in registers — separate labeled storage areas. Such a design delivers performance benefits in the form of fewer instructions, enabling a more straightforward implementation of parallelized processing.

Sway is a programming language for writing Fuel-based 

. It's a domain-specific language, adapted to the needs of blockchain developers. Sway is based on Rust, a popular general-purpose programming language that emphasizes performance and concurrent processing. Since Fuel heavily leverages parallelized processing in order to achieve its scalability and throughput benefits, the Rust-based Sway is an optimal language for the Fuel platform's smart contracts.

While Sway has inherited many of Rust's properties, Fuel Labs has specifically adapted it for blockchain-based smart contract development. As such, blockchain development with Sway is typically easier and more efficient than using Rust.

Fuel Ignition is the first rollup network to leverage FuelVM. We noted earlier that Fuel is essentially a high-performance execution layer that developers can leverage to launch custom rollups. Theoretically, many different Ethereum-linked rollup chains can utilize Fuel and become part of the platform's ecosystem. Fuel Ignition represents the first step in this direction.

Fuel Ignition features one-second block times and gas fees that are small fractions of a cent. According to the project's public communications, transaction fees on Fuel Ignition can be lower than $0.0002. The Fuel Ignition Layer 2 chain utilizes Ethereum's DA layer. It optimizes the cost and efficiency of data processing on the underlying Layer 1 through the implementation of 

, an experimental Ethereum feature that uses bundles of data called "blobs," instead of standard transactions.

Fuel Ignition boasts a throughput of over 600 

 (TPS) on the Ethereum DA layer. It also features a high TPS per CPU core, with a throughput of 21,000 TPS per CPU. With parallelized processing and high TPS per core, Fuel Ignition is ideally suited for mass adoption on consumer hardware.

Another distinct feature of Ignition is its nearly universal support for Ethereum and 

 (SOL) native wallets. As of early January 2024, the blockchain already has over 60 live DApps operating on it in areas ranging from 

FuelProver is the platform's hybrid proof-generation solution that combines the features of optimistic fraud proofs and 

. Rollups pass these proofs along with blocks of transactions to the underlying Layer 1 chain to help validate transaction data. Optimistic rollups generally offer lower computational overheads, while ZK-rollups feature greater security. FuelProver is envisioned to combine the benefits of the two rollup types, helping developers integrate Fuel's execution layer into both varieties.

Fuel's native cryptocurrency, FUEL, is an 

 token issued on the Ethereum blockchain in December 2024. One of the token's key functions is to support the project's decentralized sequencer network, which is based on the 

 (PoS) validation method. The network utilizes FUEL to secure its operations via staking and stake delegation. Sequencers are rewarded in FUEL for their transaction processing activity. Other platform users can delegate FUEL to preferred sequencers to earn a share of the rewards.

Developers pay in FUEL to utilize the platform's resources, such as access to DA. Gas fees on the sequencer network are also paid in FUEL tokens.

The FUEL token is also used for Application Specific Sequencing, whereby users can bond their FUEL to a specific DApp and earn staking rewards from that application.

FUEL has a total supply of 10 billion, with an annual supply inflation of 3%. The image below details the token’s distribution:

The Fuel project has announced a genesis airdrop campaign, during which 10% of the FUEL supply (1 billion tokens) will be distributed to more than 200,000 eligible addresses. Recipients include various groups of early adopters, including testnet users, holders of NFTs on Fuel Ignition, those bridging funds to the blockchain, active gas users and open-source code contributors. The airdrop is active between Dec 19, 2024 and Jan 19, 2025.

The FUEL token can be purchased as Spot pair (

) on Bybit. As of Jan 7, 2024, FUEL is trading at $0.067, which is 19.8% lower than its ATH of $0.08375 on Dec 29, 2024 and 78.5% higher than its ATL of $0.03762 on Dec 20, 2024.

Until Jan 14, 2025, 8AM UTC, you have the chance to 

 by embarking on Bybit’s Puzzle Hunt! To earn FUEL rewards, start by registering for the Puzzle Hunt event. Then, collect puzzle pieces either by completing simple daily tasks or receiving the pieces from your friends. If you complete three consecutive puzzle pieces, you can earn achance at a lucky draw to unlock even more FUEL rewards. Additionally, be among the first 600 participants to complete the entire puzzle, and you can claim 5,000 FUEL!

Fuel’s network offers developers a unique environment in which to spin off Ethereum rollups. The developer toolchain — featuring Fuel Orchestrator, the Sway programming language and the parallel processing–capable FuelVM — offers outstanding tools that, along with the platform's high throughput capacity and modular design, make the job of launching high-performance rollups that much easier. As Fuel progresses in 2025, the project’s team is determined to keep its focus on serving the developer community, and strives to promote collaboration, innovation, education, creativity and efficiency in all matters related to blockchain rollup development.

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Fuel (FUEL): The Modular Ethereum Layer 2 for Developers

Solana's new proposal introduces a lattice-based hashing system to address the "state growth problem," allowing the blockchain to scale to billions of user accounts. 

Daily Top Performer —  Pudgy Penguins (PENGU)

The S&P 500 rose 0.55% on Monday, driven by gains in tech and semiconductor stocks, with Nvidia and Micron leading the way. Coindesk Indices, an index measuring broader cryptocurrency market performance was up by 2.17%, with Bitcoin and Ether rising by 4.08% and 0.61%, respectively in the past 24 hours.

Today's top performer is PENGU, which surged 3.5% following the Pudgy Penguins assets surge ahead of the Abstract Network launch.

Pudgy Penguins (PENGU), launched in 2021, is a popular NFT collection with a market cap of over $1.19 billion as of December 2024. The brand has expanded into physical toys, generating $10 million in sales through partnerships with major retailers. Ahead of the launch of the Abstract Ethereum layer-2 network, Pudgy Penguins assets are increasing in value. The PENGU token has seen significant growth, while Pudgy Penguin NFTs are approaching a higher floor price. The rise is linked to growing PENGU holders and speculation of another airdrop. Companion collections Lil Pudgys and Pudgy Rods have also gained in value. Details about Abstract’s launch are still scarce, but anticipation is building.

Check Out the Latest Prices, Charts, and Data of Perp 

 introduces a lattice-based hashing system to address the "state growth problem," allowing the blockchain to scale to billions of user accounts. This system enables instant verification of accounts without recalculating the entire state, reducing computational overhead while maintaining security. Early tests have shown promising results, and the upgrade will be implemented through Solana’s formal improvement process, with gradual activation through validator voting.

Yesterday, the total flow for BTC Spot ETFs was $769.5 million, with $73.8 million in GBTC and $695.7 million in non-GBTC.

Check Out the Latest Prices, Charts, and Data of 

. To earn tokens, complete simple tasks like joining Discord or following on X. Tokens can be redeemed at TGE. To participate, connect your Solana wallet, complete tasks, and claim daily rewards. Additionally, the SLM Store charges 1 $ASRR token per query. Start now to maximize your rewards!

Beginner

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Solana's New Hashing Proposal Aims to Scale Blockchain to Billions of Accounts

Alchemist AI is a no-code development platform that transforms natural language into functional applications. Learn more about how it works in this article.

Complex coding requirements continue to block millions of web3 users from creating software applications. Alchemist AI offers a unique solution that combines AI and 

, enabling anyone to create applications through simple natural language while earning rewards in its marketplace ecosystem.

This article explores Alchemist AI’s workings, from its AI-powered application generation to its token-based monetization system. We'll examine its unique features, analyze its market potential and evaluate its position as both a development platform and investment opportunity.

 is a no-code development platform that transforms natural language into functional applications. Built on Solana, it combines AI-powered development with a blockchain marketplace, allowing users to build and monetize applications without technical expertise.

The Alchemist AI website tells a mythical origin story set in the ancient realm of Alberon. According to the tale, within the mist-shrouded valleys lies the Arcane Forge, an ancient school where masters of "Linguistic Alchemy" discovered how to transform words into digital reality.

This storytelling reflects the platform's core mission of making software creation as natural as speaking your ideas. By combining AI language models with blockchain technology, the anonymous team has built a system with which anyone can transform simple descriptions into working applications.

Alchemist AI's primary goal is to eliminate technical barriers to web application creation by transforming natural language into functional code. Removing the requirement for programming expertise enables anyone with an idea to create applications without learning complex programming languages.

Beyond accessibility, Alchemist AI seeks to shorten the development process from months to minutes. Through AI-powered code generation and automated testing, creators can rapidly prototype and iterate their applications to significantly reduce the time to market for new ideas.

Alchemist AI also aims to democratize application monetization through its marketplace ecosystem. Creators can sell their applications directly to users, earning ALCH tokens for their contributions while building a community in which anyone can turn their ideas into profitable solutions.

Alchemist AI uses a four-step process that helps transform simple text descriptions into functional applications.

Users can fine-tune this process using the Generation Settings slider, which controls the following parameters:

 enables integration with premium services and custom APIs, expanding the possibilities for application functionality.

Alchemist AI offers a comprehensive suite of tools and features to streamline the entire application development life cycle.

 is Alchemist AI's core development space, where users create fully functional applications using natural language. Instead of writing code, creators describe what they want to build — whether it's a game, productivity tool, or business application.

Using the AI Laboratory is straightforward:

The Laboratory adapts to your creative vision through its Generation Settings slider, while the integrated Wizard Chat Bot provides real-time assistance for refinements and improvements.

 is a decentralized store where the Alchemist AI community can share and monetize their creations. All transactions within the marketplace are powered by the platform's native ALCH token, which enables direct 

 transactions, a community tipping system and advanced creator monetization opportunities.

Creators can easily list their applications by navigating to the 

 tab, uploading their completed app, setting a price in ALCH tokens and providing descriptive information. Buyers can browse categories like 

 to find applications that match their particular needs.

 is Alchemist AI's control center for customizing application generation. Through its intuitive interface, users can fine-tune the way the AI creates applications by adjusting parameters and setting default configurations.

The system offers preconfigured profiles for different needs:

Users can enhance their workflow by setting default prompts, such as 

, ensuring consistent styling and features across all generated applications. These parameters can be adjusted at any time, giving creators complete control over their applications’ generation and refinement.

, the Alchemist AI team outlined their vision for 2025, with a focus on pushing beyond current capabilities for building basic applications. While the platform excels at creating programs from user prompts, it aims to tackle more sophisticated software development. The road map focuses on evolving Alchemist AI’s system to handle complex applications, while maintaining the platform's core principle of minimal technical requirements. 

Key to this evolution is the introduction of Pro Mode, a feature designed for users with the technical knowledge to create more intricate applications. This strategic direction positions Alchemist AI to compete with established Web 2.0 platforms, such as Bolt, while maintaining its accessibility advantage. Unlike platforms that require coding expertise, Alchemist AI promises to deliver advanced functionality through simple natural language inputs.

ALCH, the native token of Alchemist AI, powers its entire ecosystem. The token plays several crucial roles within the platform:

The ALCH token bridges the gap between creators and users, facilitating a sustainable economy within the Alchemist AI ecosystem. By powering all marketplace transactions, ALCH ensures seamless value transfer between community members while simultaneously incentivizing the creation of quality content.

While cryptocurrency price predictions are inherently speculative, various analysts have offered forecasts for ALCH. CoinCodex 

 between $0.07 and $0.29 in 2025, with an average price of $0.17. CoinDataFlow 

 between $0.13 and $0.34 in 2025, while its longer-term outlook for 2026–2031 suggests a range of $0.10 to $0.47.

These projections suggest moderate growth potential for ALCH, which aligns with increasing demand for AI-powered development solutions. Ultimately, the token's value will be determined by Alchemist AI's success in attracting users to its platform, as well as broader market trends and the wider adoption of no-code development tools.

Looking to trade ALCH tokens? Bybit now offers the ALCH/USDT Spot trading pair. To get started, you’ll first need to create a Bybit account, then fund it with cryptocurrency and navigate to the 

To celebrate this listing, Bybit is holding 

 for you to earn a share of a 1,500,000 ALCH prize pool through 

While Alchemist AI (ALCH) showcases innovative technology in the no-code development space, investors need to carefully consider both its strengths and risk factors before making investment decisions.

With its strong technical infrastructure and innovative approach to democratizing software development, Alchemist AI (ALCH) shows promising potential. However, potential investors will want to 

 and consider their own risk tolerance before investing.

Alchemist AI reimagines software development through its intuitive, language-based approach. Now, anyone can transform ideas into functional applications, setting the stage for a future in which software creation is truly accessible to all.

Its vision for 2025 extends this promise, evolving toward sophisticated application development while keeping creation as simple as a conversation. Executing this vision will be key to both Alchemist AI’s and the ALCH token's long-term success.

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Alchemist AI (ALCH): Forging Ahead in Innovation With AI Alchemy

Bybit Learn

DeFi

Fearful of the Acala DeFi hack and aUSD depegging? Here's how the team is planning to resuming operations after the aUSD crypto-backed stablecoin crashed 99%.

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 DeFi platform known as Acala was depegged by more than 99% because of a hacker. The team behind Acala was forced to place a pause on the hacker's wallet, which caused concerns for many Acala crypto investors about how decentralized the platform actually is. The Acala DeFi hack was among the most notable hacks in the crypto industry during 2022. If you're an Acala crypto user, you’ll want to understand what the Acala DeFi attack entailed, and what it means for the Acala network over the coming months.

Acala is a Polkadot DeFi platform that offers modular financial services, and comes with a liquidity hub that's designed specifically to support Polkadot DeFi. It brings borrowing, lending and stablecoin functionality to the broader Polkadot ecosystem.

. Since the Acala network was the very first DeFi protocol to be launched with Polkadot parachain auctions, it's considered to be the Polkadot DeFi hub. Being 

, developers can easily port over their projects from Ethereum to the Acala network. This means it can potentially become the DeFi hub for practically all cryptocurrencies.

 a governance token known as ACA and a native decentralized stablecoin known as aUSD. The ACA token is also used to pay for any transaction fees. Along with ACA, there are a wide range of additional tokens that are allowed for transaction fee payments on the Acala network.

Founded by the Acala Foundation, Acala is essentially an in-depth collaboration between two development groups with Polkadot DeFi, known as Polkawallet and Laminar. The foundation has strived to develop DeFi markets across different blockchains that were connected by the 

. In order to reach this goal, the Acala network was created as a community-owned and -operated financial layer that uses Polkadot's Substrate framework. While Acala includes financial application features, their main area of focus is improving development capabilities and interoperability initiatives.

Development on the Acala network first began in 2019 when the Web3 Foundation provided Acala with a development grant. Since that time, the Acala network has obtained additional funding from crypto investment firms Pantera Capital and Polychain Capital. These private fundings raised more than $8 million by August 2020, and the Acala network was formally launched on Polkadot in  late 2021.

 (DEX), a liquidity staking protocol and a stablecoin, which makes it a well-rounded crypto project that's part of the Polkadot DeFi initiative. Since the Acala network is fully compatible with EVM, it has a considerable amount of utility for Acala crypto investors.

When using this platform, you'll gain access to DApps, crypto assets and DOT-based derivatives. At the moment, the Acala network is made up of three parts: AcalaSwap, Honzon and Homa.

 is an automated market maker (AMM) that’s based on a standard swap interface, which gives you the ability to trade various crypto assets in liquidity pools. Any liquidity providers can earn fees for placing Acala crypto into the pools. While the Acala DEX uses a very familiar structure, there's no need for it to completely change things up when it comes to decentralized trading.

On the other hand, a new feature that's possible through the Acala network DEX is the ability to natively trade between different cryptocurrencies, across any blockchains that are connected to Polkadot. Note that both Polkadot and Polkadot’s canary network Kusama are already widely adopted. In fact, popular projects announce that they want to join Polkadot via parachains on a regular basis. Therefore, it's believed that the amount of cross-chain liquidity available through the Acala DEX will always hold up.

One notable difference between the Acala network DEX and all other Ethereum-based DEX platforms is that the Acala DEX is much more affordable to use. Polkadot is known as a high-throughput blockchain, which allows for micro–gas fees. These fees can be paid with Acala crypto and a wide range of additional cryptocurrencies.

 is the stablecoin protocol that's used with the Acala crypto network. Acala has taken advantage of its reputation as a cross-chain interoperability network by developing its own aUSD stablecoin, an 

 that’s been 1:1 pegged with USD. However, it's also backed completely by other crypto collateral.

The aUSD stablecoin platform works because of the Honzon protocol, which was created for minting stablecoins whenever these coins are deposited by crypto users as collateral. Upon the launching of this protocol, the aUSD stablecoin platform was able to accept ETH, BTC and DOT as collateral. It's believed that additional currencies will eventually be supported by parachains.

The aUSD stablecoin is easy to understand. Once collateral from Acala crypto (or a wide range of other currencies) is deposited, aUSD is officially minted, after which you can open a collateral debt position. Taking on this position means that you owe money directly to the protocol, which must be repaid along with a certain amount of interest at a later date.

Once you've repaid your collateral debt position, the protocol mentioned previously will burn the same amount of aUSD stablecoin, which reduces the amount of aUSD stablecoin that's currently circulating. This process allows the aUSD stablecoin to maintain its USD peg. If you're considering investing in the aUSD stablecoin, it’s important to know that Honzon comes with enhanced stability and security.

The Polkadot DeFi ecosystem centers on bonding assets. "Bonding" involves a process that's similar to staking. During the bonding process, your tokens are locked with a smart contract for a certain amount of utility. In return for bonding your Acala crypto tokens, you'll receive interest.

Before the development of decentralized finance, it was difficult to find platforms that used staked assets. When these assets did exist, they couldn't be used for liquidity. Now that staked derivative assets have been created, crypto platforms can access staked liquidity.

The Acala network takes this one step further by providing DOT holders with 

. Also referred to as Liquid DOT, LDOT is a type of token that’s used to represent your staked liquidity. Your LDOT can be removed from the Homa protocol before being used as aUSD stablecoin collateral through Honzon.

Acala provides developers, projects and investors that have DOT crowd loans with the ability to compound their entire crypto capital, without needing to place DOT tokens directly on the market. The protocol is designed this way to resolve the illiquidity issues that come with staked DOT tokens.

While Acala doesn't necessarily revolutionize DeFi, it does have some unique aspects that differentiate it from other DeFi hubs. First of all, the Acala crypto network focuses on collaboration through its cross-chain DeFi infrastructure, which makes it beneficial for the entire industry. Investors can take out loans and fully collateralize them with crypto that comes from other blockchains. You can also use the AMM to swap cryptos without needing to wrap them beforehand, which simplifies the entire process.

If you've previously invested in the Polkadot platform, the Acala crypto network has essentially facilitated a Polkadot DeFi platform. The most modern and advanced DeFi features are supported with Acala. If you hold the Acala crypto token, you have the ability to obtain passive returns with it specifically. The returns you obtain are based on the number of tokens you stake. All of your staking rewards are paid with ACA.

Despite Acala’s ample security features, as well as those of the entire Polkadot DeFi platform, an Acala DeFi hack occurred on August 14, 2022, resulting in a large portion of aUSD stablecoin being minted. In turn, aUSD lost around 99% of its value, which is why the Acala DeFi hack is among the most severe crypto attacks to have occurred in years. The exploit experienced by the Acala network was so strong that it caused aUSD’s price to drop to practically zero. Before, it was effectively pegged 1:1 with the U.S. dollar.

The team at Acala quickly determined that the Acala DeFi hack resulted from a misconfiguration of the aUSD/

 liquidity pool, which had gone live just earlier that day. This issue resulted in a minting error with a sizable amount of aUSD. One hacker involved with the Acala DeFi hack was able to mint around $1.28 billion in aUSD, which was swapped for a much smaller amount of the ACA token.

Shortly after the Acala DeFi hack began, Acala placed the parachain into maintenance mode, which paused all swaps. Oracle price feeds and cross-chain transactions were also paused, which resulted in the hacker being effectively stranded with $1.28 billion in aUSD tokens that were no longer worth anything.

A few additional users mimicked the initial hack to mint anywhere from $25,000 to $80 million in aUSD. The total sum of stolen funds is less than $10 million when not taking the aUSD depeg into account. After the Acala DeFi hack, many crypto investors began to raise questions about the Acala network’s viability.

Since the breach of the Acala network in mid-August, the team has managed to recover around 3 billion aUSD to help push the value closer to the 1:1 USD peg. During the second trace, following the Acala DeFi hack, they were able to recover around 1.68 billion aUSD. The first trace allowed for the recovery of 1.29 billion aUSD. Additional trace reports are expected to occur in the weeks to come, which may lessen the severity of the Acala DeFi hack.

While the Acala DeFi hack was severe, the team at Acala was able to quickly freeze all services, which effectively lessened the impact caused by the hack. Around 16 separate users who contributed to aUSD liquidity pools received aUSD that was minted during the Acala DeFi hack. Along with the trace reports, Acala will publish a postmortem. While aUSD was initially valued at around $0.01 after the Acala DeFi hack, it's now valued at around $0.85 because of recent recovery efforts.

As the Acala platform token, ACA has been allocated for rewards, strategic investors, the Acala team, further ecosystem development and a certain amount of reserves. By the end of 2026, more than $800 million of ACA will be distributed. The amount that's distributed to crowd loan participants, strategic partners and the Acala team will grow over time.

ACA is currently priced at $0.235 and has a circulating supply of more than 508 million tokens. The market cap is right around $120 million. Acala aims to soon release a final trace report that goes into more detail about the recent DeFi hack, which can be verified by the community with on-chain data. Proposals will then be formulated by re-collateralizing aUSD. The community will be able to make decisions and formulate service resumption plans.

The Acala DeFi hack was immediately damaging to the value of aUSD. While steps have been taken by the Acala team to remedy this issue, the extent and severity of the hack means that you should take some time to determine if Acala is a good investment for your portfolio.

While the hack has put a pause on the Acala team's road map, the map is still ambitious and may eventually be able to help crypto investors gain confidence in the platform. For instance, Acala eventually wants to enable balance transfers and is working to further invest in ecosystem development over the next few years.

Before investing, consider focusing on what the Acala team says about additional steps they'll take to resolve the issues caused by the Acala DeFi hack. If they correct these problems, you should be able to invest without worrying too much about your crypto portfolio.

If you’d like to invest in ACA, you can do so on Bybit with Spot trading. All that's required for you to get started is for you to 

From there, you'll notice a search box at the top center of the page. Once you type in "ACA," you'll be shown an 

 Spot trading option. Click on it to be taken to the main ACA page. On the right side of the page, you can enter the amount of ACA you'd like to purchase. Make sure that your wallet is connected to Bybit before you begin.

Despite the severity of the Acala DeFi hack, the team at Acala has taken numerous steps to recover the minted aUSD and stem the issues caused by this hack. However, some crypto investors still distrust Acala because of the belief that the platform isn't as decentralized as it had been advertised to be. Whether you choose to invest in the aUSD stablecoin, or decide to take your crypto assets elsewhere, it's clear that the Acala DeFi hack has caused a considerable amount of damage to the platform's reputation, as well as the value of aUSD.

Acala DeFi Hack: Is aUSD Worth Investing in After the Exploit?

Grab Up to 5,000 USDT in Rewards

Grab Up to 5,000 USDT in Rewards