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Core DAO validator reward failure blocks CORE transfers at exchanges
Core DAO said the issue was confined to reward issuance, but it has not quantified how much CORE may have been minted above intended levels.
Core DAO said a validator reward calculation exceeded the protocol's intended levels for a small group of validators, triggering an unresolved supply question for CORE as two exchanges restricted transfers. The project said it identified the root cause, is working on mitigations, and that user assets, network security, and custody were unaffected.
Coinbase opened a Core DAO incident at 04:41 UTC on Aug. 31 and paused CORE sends and receives after Core's 05:24 UTC public statement. As of 17:38 UTC, Coinbase's status feed still showed the issue as investigating, while it said buys, sells, conversions, and fiat transactions were unaffected.
LBank separately suspended CORE deposits at 05:00 UTC, citing the project's requirements, and its notice did not include a restoration time or describe trading or withdrawals. Core's statements did not confirm any link between the reward anomaly and the exchanges' specific restrictions.
Core DAO said the incident was limited to reward issuance, with validator compensation normally including newly minted CORE block rewards plus transaction fees calculated at the end of each reward round. The documentation leaves open whether the anomaly accelerated already scheduled rewards or added issuance outside the planned token path, and Core has not disclosed the size of any excess reward amount.