According to CoinDesk, Drift Protocol, the largest decentralized perpetual futures exchange on Solana, announced it has received up to $147.5 million in funding from Tether and its partners—$127.5 million from Tether and $20 million from other partners—to restore user funds and restart the protocol following a hack exceeding $270 million. The attack, carried out on April 1 by a North Korea-linked group that had infiltrated the platform for approximately six months posing as a quantitative trading firm, caused the DRIFT token’s value to plummet by around 70%. The funding structure combines revenue-linked credit, ecosystem subsidies, and market maker loans, aiming to cover approximately $295 million in user losses. After the protocol restarts, USDT will replace USDC as the core settlement layer, with Tether also providing fee reductions, user incentives, and liquidity support.
Tether to Provide $127.5M to Support Drift Protocol's Recovery After $270M Hack
TechFlowShare
Summary
Tether will provide $127.5 million in support funding to help Drift Protocol recover from a $270 million hack. The Solana-based exchange received a total of $147.5 million, including $20 million from other partners. The attack, attributed to a North Korea-linked group on April 1, caused DRIFT to drop 70%. The funds will cover user losses and support a restart using USDT as the settlement layer. Altcoins to watch may include DRIFT as the protocol rebuilds.
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