Crypto Platform Opens Repayment Process: Just 1% of Losses Recoverable for Now

In the DFX claim and repayment process launched for users who suffered losses in the April 1 incident at Drift, the initial payout amounts to about 1% of verified losses.

According to a statement from the Drift Foundation reported by Wu Blockchain, users can claim 1 DFX for every 1 USDT in verified losses. DFX represents a claim on the Recovery Pool, a pool created to cover losses.

However, there is a wide gap between the number of tokens issued and the payout available today. Initially, each DFX can be redeemed for about 0.0104 USDT. For example, if all 1,000 DFX issued for a verified loss of 1,000 USDT are redeemed at this rate, the payout would be about 10.4 USDT.

Payout amount depends on funds in the pool

The pool currently holds about 3.11 million USDT. The reimbursement amount per DFX is calculated by dividing the pool balance by the remaining DFX supply. As a result, the current payout level could change as new funds are added to the pool.

Planned funding sources include a portion of Velocity’s daily net protocol revenue, up to 127.5 million USDT from Tether, and up to 20 million USDT from strategic partners. Recovered funds will also be added to the pool. These caps are stated separately from the amount currently held in the pool.

Tokens used for payouts today are burned

DFX tokens redeemed for USDT are burned, and the transaction cannot be reversed. Future contributions will be distributed among DFX holders who retain a claim on the pool.

In Drift’s example, if 10% of the supply is used for repayment and burned, each remaining DFX receives about 11% more of future contributions. This increase comes from dividing subsequent contributions among fewer tokens; the total payout available depends on how much new funding enters the pool.

Deadline for claiming tokens set

Users whose losses have been verified must submit their DFX claims by January 1, 2028, at 03:00 (Turkey time, TSI). Any unclaimed DFX tokens will also be burned after the claim period ends.