Harmony offered the community a 3-year $100 million refund plan

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The Harmony team, a month after the bridge breach, which resulted in the loss of $100 million in assets, offered two options for recovering assets.

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Harmony urged the community to vote on the most profitable of the options from August 1st. The developers warned that in both cases, given the current state of their financial reserves, an immediate asset recovery of 14 different asset classes for 65,000 wallets worth about $100 million is not possible.

  • The first option assumes 100% compensation upon the issuance of 4.97 billion ONE tokens, which corresponds to a three-year monthly issue of 138 million tokens ($2.76 million at a price of $0.02). The issued coins will be gradually introduced into circulation over a three-year period.

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    The second offer includes a 50% refund on the issuance of 2.48 billion ONE, which corresponds to a three-year monthly issuance of 69 million ONE tokens ($1.38 million at a price of $0.02). The minted tokens will be gradually introduced into circulation over the next three years.

The developers of Harmony insist that traders are to blame for the current situation, taking advantage of the situation to borrow ONE without the intention of returning. The situation has led to a further loss of liquidity due to the depletion of provider funds, and Harmony developers fear that this could lead to their project being removed from various DeFi protocols. The developers are convinced that they are choosing inflationary tactics “in the interests of the project’s longevity and well-being.”

Some of the platform’s customers criticized both refund options, as they resemble the refund methods that Terraform, the creator of Luna, previously offered to its users.

In June, the Harmony One project team announced the hacking of the Horizon bridge between the Ethereum, Binance Chain, and Bitcoin blockchains. Hackers managed to steal $100 million worth of tokens.

Source: Bits

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