Drift opens DFX redemptions at about $0.01 per $1 lost

Drift Protocol opened claims and redemptions for its DFX recovery token on Oct. 1. The protocol offered roughly 0.0104 USDT for each DFX, equating to about $0.01 returned for every $1 of verified loss at launch. Redeemed DFX are burned and no longer share in future Recovery Pool deposits.

Drift allocated a fixed supply of 299,500,810.998 DFX to reflect nearly 299.5 million USDT of verified losses; victims received one DFX for each USDT lost. At launch the Recovery Pool held about 3.1 million USDT, which produced the initial redemption rate of roughly 1.04% of each dollar lost. The redemption price paid is the rate shown when the redemption transaction is executed.

Redemptions execute atomically: the USDT payout and the burn of the submitted DFX occur together in a single transaction. Completed redemptions are treated as final. If a holder redeems only part of their DFX, the remaining tokens continue to participate in future Recovery Pool deposits. Selling DFX on a secondary market transfers the tokens to another holder but does not withdraw funds from the Recovery Pool.

Drift’s dashboard calculates the redemption price as the Recovery Pool balance divided by outstanding DFX. Under that method, a redemption removes cash and burns tokens in the same proportion, leaving the pool-to-token ratio unchanged. New deposits into the pool will increase the amount redeemable per remaining token; redemptions reduce both pool balance and outstanding supply.

Drift restated funding commitments from April: up to 127.5 million USDT from Tether for relaunch and user recovery, plus up to 20 million USDT from strategic partners for recovery. Those figures are ceilings on potential support and do not represent cash already available for immediate redemptions. Tether’s earlier announcement specified that capital would be introduced progressively and aligned with platform performance. Drift’s recovery framework also includes a revenue-linked credit facility, an ecosystem grant and market-maker loans as possible sources of funding over time.

A share of net protocol revenue from the Velocity trading platform will be deposited into the Recovery Pool daily at 00:00 UTC, alongside any funds recovered from the exploit. Future recovery funding therefore depends on those scheduled revenue deposits and any additional capital or recovered assets that enter the pool.

The DFX claim window closes on Jan. 1, 2028 at 00:00 UTC; any unclaimed DFX will be permanently burned at that time. That deadline applies to claiming allocated tokens rather than to an explicit final redemption cutoff. Insurance Fund claims remain subject to separate terms. DFX is a transferable token on Solana and is distinct from the DRIFT governance token, allowing holders to choose between immediate redemption, secondary-market transfer, or continued participation in future recovery distributions.