Grim Finance Funds Redistribution

Beefy prides itself on security, safety, and transparency. In our February 24 Grim Finance incident report, we indicated a third party would return the salvaged whitehat funds. However, in response to community feedback, Beefy will instead return the funds directly to Grim users.

This will happen as quickly and fairly as possible in a highly verifiable way.

But first, a few separate words are in order. Beefy has learned valuable lessons here. The team understands it must avoid whitehat operations in the future. Our team cannot give whitehat work the dedicated time and skills it needs. Beefy’s responsibilities lie elsewhere.

In retrospect, we should have pushed for a more timely solution by engaging proactively and transparently with Grim instead of waiting quietly for a resolution to emerge.

What’s happening to the secured funds?

Beefy is developing a simple approach to make sure each affected user will have their portion of Beefy-secured funds returned:

1. Beefy is calculating each wallet’s corresponding share from a snapshot of addresses invested in each affected vault. The snapshot will be taken just before Beefy’s first whitehat transaction into each vault.
2. A smart contract will use the calculations to airdrop each wallet’s share, measured in dollar-valued, to each affected user. The amount of each share will either be the value at snapshot time or the token’s current value, whichever is greater.
3. Beefy will publicly release a log of all addresses impacted, categorized by vault and sorted by share.
4. Once the airdrop has been executed, Beefy will announce the completion and any final notes.

When will the funds be returned?

The timeline for returning the funds will be announced shortly. Make sure to check our Discord announcements channel for more information.