Curve Finance to disburse $49M in compensation to hack victims

Dec 22. 2023

By Ana Paula Pereira

The community behind the decentralized finance (DeFi) protocol Curve Finance has voted to reimburse the liquidity providers (LPs) hit by a $61-million hack in July.

On-chain data confirms that 94% of tokenholders approved on Dec. 21 the disbursement of tokens worth over $49.2 million to cover the losses of the Curve (CRV), JPEG’d (JPEG), Alchemix (ALCX) and Metronome (MET) pools.

The calculation of losses includes the amount of Ether (ETH 🔻$2,290) and CRV tokens in the pools before the hack, along with missed CRV emissions that would have been distributed to LPs over the past months. According to Curve’s proposal, the community fund will supply the Curve DAO (CRV) tokens. The final amount also includes a deduction for the tokens recovered since the incident.

“The overall ETH to recover was calculated as 5919.2226 ETH, the CRV to recover was calculated as 34,733,171.51 CRV and the total to distribute was calculated as 55’544’782.73 CRV,” reads the proposal.

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