Radiant DAO Proposes Compensation for Victims of ‘Unlimited Authorization’ Vulnerability

The Radiant DAO community has proposed a solution to compensate victims of a critical vulnerability impacting Arbitrum and BNB Chain, identified on October 16, 2024. This proposal aims to address losses estimated at $7.7 million in 2024 and $1.2 million in the first quarter of 2025. The core element is a claims contract deployed on Arbitrum for a proportionally distributed fund allocation based on user losses, consolidating stolen tokens into a single stablecoin at market value. Any balances below $1 will be nullified. This phased compensation process aims to provide transparency via a dedicated portal over several years. Priority will be given to users affected by the RFP-47 proposal with remaining funds allocated to those impacted by the current proposal. If stolen funds are recovered, they will be distributed proportionally amongst all affected users. However, the compensation plan’s execution relies on partner contributions; failure to secure these funds may impact the process.