Galxe encountered a security breach on October 6, 2023, resulting in some users falling victim to phishing attacks and losing their funds to scammers. However, Galxe has initiated a recovery plan to assist affected users. The recovery process consists of four steps, each tailored to address users' specific situations independently. For example, users who prefer to have their funds returned to the same wallet will automatically find their funds restored, while those opting for a new wallet address must follow a separate procedure to report and claim their losses.

Galxe is collaborating with third-party security firms to conduct a thorough review of the incident. To facilitate the recovery process, users' wallet addresses must match the records for funds to be automatically restored. Galxe has compiled a Google Sheet listing the estimated number of affected users, and users are encouraged to report any discrepancies or missing information, such as wallet addresses or amounts, by sending an email to the support team before October 16, 2023, 8 a.m. PT. Only users whose wallet addresses are not listed in the document or those who have miscalculated their losses should reach out to the support team via email, providing the necessary documentation and transaction screenshots.

Affected users will receive compensation in USDT on the Polygon network, calculated as of October 9, 2023, at 3 a.m. PT. Galxe is offering an additional 10% of the initial loss as a gesture of goodwill, sourced from the company's treasury. Users who prefer to receive the recovery funds in a new wallet address can update their information by filling out a form, which can be obtained from the support team or accessed on Galxe's official website.

Galxe reassures users that their sensitive information, such as social identity information, Galxe ID, and Galxe Passport, remains secure. The team successfully intervened to halt the attack and has implemented a comprehensive recovery plan to assist users within 30 days of the incident. Users are encouraged to reach out to Galxe with any concerns, and the company is actively working with engineers and security firms to prevent similar incidents in the future, expressing confidence in the community's resilience and strength in overcoming such challenges.