Gnosis Chain executed a hard fork after most validators adopted a soft fork to enable recovery of funds linked to a November Balancer exploit that stole about $116 million. Gnosis said the recovered funds are "out of the hacker's control." White-hat actors previously recovered roughly $28 million. The community is debating how users will claim funds and how contributors to the recovery will be recognized or compensated; Gnosis aims to enable recovery by Christmas and move funds into a DAO-controlled wallet. The exploit affected Balancer V2 Composable Stable Pools despite multiple audits.

Facts: Gnosis executed a hard fork (after a soft-fork majority) to recover funds from a Balancer exploit that stole ~$116M; ~$28M was already recovered by white-hats; recovered funds are claimed to be "out of the hacker's control" and will be moved to a DAO-controlled wallet with community discussion on claims/compensation. These concrete recovery steps reduce downside from the hack (slightly bullish) and are directly relevant to protocol stakeholders and short-term sentiment, but the underlying exploit and audits limit the overall positive strength.