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Drift proposes recovery tokens after $295 million April hack

The plan would direct Drift protocol revenue and partner contributions into a recovery pool, potentially taking up to about eight years to reach $295 million at 2025 revenue levels.

Reported · Written up by our desk · Market Structure

DeFi derivatives exchange Drift has proposed issuing “recovery tokens” as part of a recovery plan after a $295 million hack in April that forced the platform to suspend trading and other activity. DL News reports that the token would represent a proportional claim on a “recovery pool” meant to be gradually funded over time.

Drift’s proposal centers on funneling protocol revenue to affected users, alongside crypto committed by Tether and other organizations that stepped in after the hack, according to the exchange’s update. The plan would also require approval from Drift tokenholders, and victims could face a multi year timeline to fully recoup losses.

The hack occurred on April 1, when attackers tricked Drift administrators into approving bogus transactions. Blockchain analysts cited by DL News said North Korea was likely behind the attack.

Drift said it is taking measures to make users whole and restore the protocol as a leading Solana perpetuals DEX, but the mechanics depend on the plan being approved. DL News adds that Drift earned $19 million in revenue in 2025, which would imply nearly eight years to fill the recovery pool to $295 million if partner commitments are honored.

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