Drift Secures $127M Recovery Package from Tether After Solana Exploit

Drift Protocol has proposed a recovery package of up to $127.5 million from Tether, following its $280 million Solana exploit on April 1. The funds are intended to compensate users affected by the incident.

The package includes a $100 million revenue-linked credit facility from Tether, alongside an ecosystem grant and loans to market makers. All funds will be directed into a dedicated recovery pool, which is designed to cover roughly $295 million in outstanding user losses.

Drift will issue a separate recovery token to distribute claims among affected users. The token is distinct from the platform's DRIFT governance asset and represents a proportional claim on the recovery pool. It will be transferable, giving users access to liquidity before the pool is fully replenished.