Drift Protocol Offers Victims 1¢ Redemption for Each Dollar Lost

Drift Protocol has opened claims and redemptions for its DFX recovery token, giving victims of its April exploit a way to receive USDT stablecoin from the Recovery Pool. The exit comes with a permanent tradeoff: redeemed tokens are burned and no longer share in future deposits.

The payout rate is approximately 0.0104 USDT per DFX, representing about 1.04% of corresponding losses. Outstanding supply falls as tokens are burned in proportion to the pool balance divided by outstanding DFX.

Drift's stated design ensures redemption removes cash and burns tokens in the same proportion, leaving that ratio unchanged. New deposits raise the amount redeemable per remaining token.