Yala releases YU token liquidity event analysis report and plans to determine a clear recovery path and other plans before December 15th Yala, a Bitcoin liquidity and native stablecoin project, released an update on the recent YU token liquidity issue on the X platform: On September 14, 2025, an attacker used a temporary deployment key to build an unauthorized cross chain bridge and withdrew 7.64 million USDC (approximately 1636 ETH), causing YU to temporarily anchor, but did not touch the core protocol vulnerability, resulting in no loss of Bitcoin reserves. The team injected 5.5 million US dollars of their own funds and borrowed Euler platform to supplement liquidity. On September 23rd, YU fully resumed and Yala protocol returned to normal. On October 29th, law enforcement agencies in Bangkok arrested the attacker and most of the funds were recovered pending legal review. Part of the funds were converted to Ethereum in advance and the price fell, coupled with the attacker having already spent some of the funds, resulting in a decrease in the actual recovered value. More detailed information will be provided when allowed by law. Recently, retail investors have withdrawn from DeFi, exacerbating market panic and liquidity constraints. Euler has been affected, and some of YU's previously stable positions and liquidity have been restricted. Yala is not integrated with Kamino lending products, and the wallet address starting with AyCJS5 is not related to Yala or the team. The team is focused on protecting user interests and Yala's long-term operation, evaluating the required funds, and raising funds with law enforcement agencies and funding partners. Due to tight agreements and asset liquidity, this process will take time. We plan to provide a clear plan before December 15th, including a path for fund recovery and next operational measures.