【BXH.COM】Follow ups on BXH (BSC) asset recovery

Dear BXHers,

Sixty days have passed since the hacking of the BXH platform on 30 October. In this announcement, we would like to share with you the statistics of the financial loss to date and the next steps as follows.

1. Our fundamental belief in addressing the incident Although the amount of funds stolen is huge, BXH's aim in resolving this incident has always been to cover the losses of all users. Due to the large number of funds stolen, BXH is unable to return the funds immediately. The current plan is to complete the payout of user assets in a linear manner over a period of no more than three years and slowly settle the platform debt. In the meantime, we will launch new products and models in an effort to settle the compensation of lost user assets as quickly as possible.

2. BXH operational adjustments In the meantime as we work on the later payout plan, the team will make the following adjustments to the platform's operations.

3. The platform retains the BXH platform coin, but discontinues the DEX liquidity mining business of BXH, while retaining the vault business, and changing the vault output from BXH to USDT.

4. The BXH platform will launch a centralized contract trading platform, referencing Bybit's contract trading for overseas markets. BXH will also focus its main efforts on targeting overseas users.

5. BXH already has the best trading platform technology system in the industry, by using the most reliable third-party secure hot wallet system. In BXH, all user assets will no longer go into the asset cold wallet, but into the BXH decentralized contract vaults. The future vaults will be fully open and transparent, with multi-signature DAO management and only safe and secure revenue strategies selected. And most of the future proceeds from the BXH platform are prioritised to pay out for damaged user assets.

6. Final solution for stolen assets Based on various recent feedback from the community, the final solutions to the stolen assets at BXH are as follows. Option 1 For users who choose to continue to support BXH platform while waiting for their asset loss to be covered, the platform will fixate the value of the user's Xtoken position and convert it into XDT balance before the asset is recovered. XDT will be released proportionally to the monthly balance of the XDT swap pool.

Option 2 For users who do not wish to continue to wait for asset recovery and long compensation cycles, and hope to convert the consolidated Xtoken residual value in BSC into residual balance of mainstream assets, and at the same time forgo debt recovery from the BXH platform, BXH has decided to open up the Xtoken residual value conversion channel. Members who have already completed the first batch of XToken redemptions can swap their remaining XToken for the remaining percentage of residual balance at the difference.

The current asset value of Xtoken for all users is approximately 52.5% of the total original staking, and users can swap the Xtoken asset balance for USDT in the pool with the following swap ratios:

• Addresses that have originally redeemed 40% of their xtoken will receive 20.83% of the redemption percentage.

• Addresses that have originally redeemed 45% of their xtoken will receive 13.64% of the redemption percentage.

• Adesses that have already redeemed 50% of their xtoken will receive 5% of the redemption percentage.

Example: a user whose original address has 100 XUSDT and has already redeemed to obtain 40 USDT can redeem another 20.83% tokens, making his/her financial return 12.498 USDT (60*20.83%). After the swap is completed, the swap contract takes back the 60XUSDT used for this swap and the user's wallet no longer holds XUSDT, i.e. the user's address receives a total of 52.498 USDT.

Option 3 At the same time the BXH platform has also received a demand from community users for trading XToken on the BSC network. Therefore, the platform will simultaneously open up XToken/USDT trading pairs while retaining the original XToken swap scheme, where users can freely trade XToken with other users at a suitable trading price. In addition, the platform will also gradually open up more community solutions in the future.

Besides, the BXH team is always working in full cooperation with the police, security agencies and the community to recover all the stolen assets. For security reasons, we will not disclose many details but in due course, we will keep you posted on progress made.

Thanks for your support!

Website: bxh.com

Telegram: t.me/BXH_ global

Twitter: twitter.com/BXH_ Blockchain

BXH team December 30, 2021