# Velocity Drift protocol exploit compensation > Live situation record from CLSTR: https://clstr.news/situations/velocity-drift-protocol-exploit-compensation > Updated: 2026-10-04T17:20:02.000Z. Sources: 7. Developments: 2. Velocity, formerly known as Drift, has initiated a compensation program for users affected by a $295.4 million exploit on its Solana-based exchange that occurred in April. The protocol introduced DFX, a recovery token where one DFX is linked to each $1 of verified USDT lost. As of early October, the redemption process has officially launched. Due to the current size of the Recovery Pool, which holds approximately $3.11 million, the initial redemption value is roughly $0.0104 per DFX, representing a recovery of about 1.04% of verified losses. The pool is expected to grow through Tether’s commitment of $127.5 million, $20 million in pledges from strategic partners, and a portion of Velocity’s net protocol revenue. Users can claim DFX by connecting associated wallets through January 1, 2028. Redemptions involve a simultaneous transaction where DFX tokens are burned in exchange for USDT from the pool. Users may choose to redeem only a portion of their tokens, allowing the remainder to participate in future deposits and revenue sharing. Any DFX tokens remaining unclaimed after the deadline will be permanently burned. ## Timeline ### 2026-10-04: Drift Protocol begins DFX token redemptions for exploit victims Drift Protocol has opened DFX token redemptions for victims of its April exploit, offering USDT payouts from a Recovery Pool at an initial rate of approximately 1.04% of verified losses. 4 sources. https://clstr.news/cluster/drift-protocol-begins-dfx-token-redemptions-for-exploit-victims ### 2026-10-01: Velocity begins DFX token claims following $295M Drift hack Velocity (formerly Drift) has opened DFX token claims to compensate users for a $295.4 million April hack, with an initial redemption rate of approximately 1% of reported losses. 3 sources. https://clstr.news/cluster/velocity-begins-dfx-token-claims-following-295m-drift-hack --- Cite as: Velocity Drift protocol exploit compensation. CLSTR, https://clstr.news/situations/velocity-drift-protocol-exploit-compensation