Tribe DAO votes in favor of repaying victims of $80M Rari hack

9 months ago Hassan


After months of uncertainty, the Tribe DAO has voted to repay affected users who made an $80 million exploitation of decentralized finance (DeFi) platform Rari Capital’s liquidity pool.

After several rounds of voting and governance proposals, the Tribe DAO, consisting of Midas Capital, Rari Capital, Fei Protocol, and Volt Protocol, voted on September 18 to fully reimburse hacking victims.

Data from on-chain voting platform Tally programme With 99% of voters in favor, the proposal was implemented on September 20.

Individual users will be rewarded in the form of FEI, while DAOs will be rewarded in the form of DAI, according to the description below the voting data. The user must also sign a message releasing any liability.

Fee founder Joey Santoro tweeted that the payment would be made within 24 hours of the vote.

According to CoinGecko, the total disbursement amount was 12.68 million FEI, which was trading at $0.97 at the time of writing, while 26.61 million DAI was trading at $1.

Voting is one of the final governance decisions for the Tribe DAO, which has announced plans to wind down.

on their 20th August proposalthey explained that “a challenging macro environment” and “specific challenges such as Rari Capital’s Fuse hack” were factors in the decision.

“A responsible option considered by the DAO at this stage is to put the protocol in a state where it can defend the FEI peg without governance.”

The entire process of compensating victims of the hack has been ongoing, through snapshot signal polls and on-chain voting rounds; however, none have culminated in a resolution for affected users.

In a September 20 Twitter post, Joey Santoro explained the challenges they both faced in coming up with solutions, and hoped other DAOs could learn from the incident.

related: DeFi protocol shuts down months after Rari Fuse hack

“The big lesson here is that DAOs shouldn’t make such decisions after the fact. A clear up-front policy, preferably enforced on-chain, can save DAOs from venturing into uncharted territory for governance.”

After the hack, a $10 million bounty was offered to the hackers, but if they responded, it was never disclosed.