Drift Users Face 1% Losses Repayment with Uncertain Future

The Drift Foundation has initiated the repayment process for users affected by the April 1 incident at Drift, where users can claim a portion of their losses. The initial payout amounts to about 1% of verified losses, with users able to claim 1 DFX for every 1 USDT in verified losses. DFX represents a claim on the Recovery Pool, a pool created to cover losses.

The current payout level is calculated by dividing the pool balance by the remaining DFX supply, which is currently about 3.11 million USDT. As new funds are added to the pool, the reimbursement amount per DFX may change. The pool is expected to receive additional funding from Velocity's daily net protocol revenue, up to 127.5 million USDT from Tether, and up to 20 million USDT from strategic partners.

Once DFX tokens are redeemed for USDT, they are burned and cannot be reversed. Future contributions will be distributed among DFX holders who retain a claim on the pool. This means that if 10% of the supply is used for repayment and burned, each remaining DFX will receive about 11% more of future contributions.

The deadline for claiming tokens is set for January 1, 2028, at 03:00 (Turkey time, TSI), after which any unclaimed DFX tokens will also be burned.