The decentralized trading platform edgeX has officially announced the completion of its compensation process following the market volatility incident that occurred on June 2. The distribution aims to reimburse eligible participants who suffered financial losses due to liquidation or triggered stop-loss orders on long positions. This resolution follows a comprehensive verification process conducted via the project’s official communication channels to ensure that all affected traders received their designated settlements.
Eligibility Criteria and Distribution Structure
The compensation plan specifically targeted users who experienced trade disruptions between 4:50 AM and 6:00 AM on June 2. To qualify for the reimbursement, affected parties were required to open a support ticket on the edgeX Discord server and provide verification of actual losses incurred on EDGE long positions. The protocol set a final deadline for ticket submissions at 2:00 PM (Beijing time) on June 9, ensuring a structured window for claims processing.
Terms of the Reimbursement Package
The platform has implemented a dual-asset reimbursement strategy with specific limits to maintain ecosystem stability. The key details of the compensation package include:
- Individual compensation is capped at 100,000 USDC per user.
- 50% of the total claim has been distributed immediately in the stablecoin USDC.
- The remaining 50% will be distributed in EDGE tokens during the first week of April 2027.
- The token conversion will be calculated based on the 7-day average price of EDGE at the time of the 2027 distribution.
By delaying a portion of the payment in native tokens, the protocol aims to balance immediate user relief with long-term treasury management and market health.
Through the successful execution of this compensation plan, edgeX seeks to restore user confidence and address the technical or market anomalies that led to the June 2 liquidations. The completion of this distribution marks a significant step in the project's efforts to maintain transparency and accountability within the decentralized finance (DeFi) sector. Moving forward, the platform will continue to monitor system performance to prevent similar occurrences and protect its liquidity providers and traders.
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