DAO Tribe Votes to Reimburse $80M Rari Hack Victims

After months of uncertainty, the DAO Tribe has voted to repay affected users of the exploit $80 million from the liquidity pools of decentralized finance (DeFi) platform Rari Capital.

After several rounds of voting and governance proposals, Tribe DAO, which consists of Midas Capital, Rari Capital, Fei Protocol and Volt Protocol, made the decision in a vote on Sept. 18 with the intention of fully repaying the victims of hacking.

Data from on-chain voting platform Tally shows that 99% of those who voted were in favor and the proposal was executed on September 20.

According to the description under the voting data, individual users will be reimbursed in FEI, while DAOs will be paid in DAI. Users will also be required to sign a disclaimer.

Fei founder Joey Santoro said on Twitter that payment would be made 24 hours after the vote.

The total payout amount is 12.68 million FEI which is trading at $0.97 at the time of writing and 26.61 million DAI which is trading at $1, according to data from CoinGecko.

The vote was one of the final governance decisions for the DAO Tribe who announced their intention to stand down.

In their August 20 proposalthey explained that the “difficult macro environment” and “specific challenges such as Rari Capital’s Fuse hack” were all factors in the decision.

“At this point, a responsible choice for the DAO to consider is to leave the protocol in a state that would defend the FEI peg without the need for governance.”

The entire process of reimbursing victims of the hack is ongoing, with multiple rounds of voting via instant and on-chain polls; however, none have resulted in a resolution for affected users.

In a September 20 Twitter post, Joey Santoro explained the challenges they all faced in finding a solution and hopes other DAOs can learn from the incident.

Related: DeFi protocol shuts down months after Rari Fuse hack

“The biggest lesson here is that DAOs shouldn’t have to make such decisions after the fact. An explicit up-front policy, ideally with on-chain enforcement, would have saved the DAO from having to venture into governance territory. unexplored.”

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

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