CoinEx exchange experienced a significant exploit on 12th September, resulting in a loss of $54 million worth of cryptocurrency from affected wallets. Among the drained assets were up to $3 million worth of Baby Doge Coin (BABYDOGE) tokens. In response, BABYDOGE has launched a new governance proposal for token holders to vote on whether to postpone or proceed with the latest burn initiative, which aims to remove 5 quadrillion BABYDOGE from circulation.
The proposal suggests that the token burn could cause short-term adverse price action and additional volatility, potentially negating the positive impact of the burn initiative. So far, over 60% of votes favor postponing the token burn. Despite a 19% drop following the exploit, BABYDOGE has since held strong, with the CoinCodex price prediction algorithm forecasting positive price action in the coming months.