Drift Foundation has clarified that the DFX compensation token is not pegged to USDT, with redemption values determined solely by the Recovery Pool balance at the time of claim. Users receive 1 DFX for every 1 USDT of confirmed loss, though the pool currently covers approximately 1% of total claims. Holders may redeem immediately, retain tokens for future pool inflows, or trade on secondary markets like Raydium.
Tether has committed up to $127.5 million in USDT to support Velocity's restart and user compensation, with funds distributed incrementally based on matching net protocol revenue rather than as a lump sum. The January 1, 2028 deadline applies only to claiming DFX tokens; already-claimed tokens remain valid indefinitely, and users who experienced failed claim attempts can retry without losing their allocation.
Drift Foundation Clarifies DFX Token Mechanics and Tether Funding Commitment
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