Reimbursement Process

Step-by-Step Guide

CLAIMS ARE LIVE ON ARBITRUM:

Reimbursement claim for DEI incident of 5th may:

https://app.dei.finance/dei-incident

Introduction

Following the DEI incident on May 5, 2023, we're now entering the final phase of the reimbursement process for our users. This GitBook page is a comprehensive guide to help you understand the reimbursement process, specifically for users who held DEI or LPs with DEI before the incident.

Please note: This short-term reimbursement plan does not cover users who purchased DEI after the incident. They will be considered under a long-term reimbursement plan.

Calculation of Reimbursable Amount

The reimbursable amount is calculated based on the DEI and USDC (or any non-DEI asset paired with DEI) you held before the incident, minus any USDC withdrawn or DEI sold.

Here's the formula:

userDEIbefore + userUSDCbefore - userUSDCamountWithdrawn - userDEISold = reimbursableAmount

Reimbursement Options

Users have two options:

1. USDC Reimbursement: Paid out in USDC. This option carries a more significant 'haircut' due to DEI being only 90% backed.

2. DEI Reissued Reimbursement: Paid out in the newly launched DEI, expected in Q4. The 'haircut' for this option is less than the USDC reimbursement.

An illustration for the reimbursement process can be:

Suppose you have a 10,000 reimbursable amount, with a hypothetical haircutUSDCAmount value of 0.65. If you decide to take 40% in USDC now, redeeming 4000 of your reimbursable amount, which leaves you with 6000. You would then receive 2600 USDC now (4000 * 0.65) and receive 1400 in bDEI (the balance of your claimed amount), and 6000 as reimbursableAmount for claiming later.

Please note: The 65% haircut for USDC is hypothetical. The actual haircut values will be released soon.

bonded DEI (bDEI)

We are introducing bDEI as a representation of the debt still owed, given there was a difference of your reimburseable amount and the amount you could claim, because of the 'haircut percentage' that is calculated based on recoveredUSDC divided by totalReimburseableAmount

These bDEI can be migrated to SYMM/DEUS (ANN-1, ANN-2) read more here SYMM / DEUSmigration

Claiming Your Reimbursement

We are currently preparing a website where you can check your values and claim your reimbursement. It's expected to go live by the end of this week.

The current haircut values are as follows:

• NOW: 60.25% USDC / 39.75% bDEI

• LATER_90(90% newDEI) 67% newDEI / 32% bDEI

• LATER_85(85% newDEI) 71% newDEI / 28% bDEI

After a thorough review of all snapshots, we're confident the reimbursement amount will be at least 60% in USDC or 71% in newly launched DEI for each DEI or USDC/USDT/etc. held prior to the incident.

Please note, you can claim your reimbursement once the website is live. If we recover more USDC in the future, you will be able to claim your share later.

For DEI/DEUS LPs

If you held DEI/DEUS LPs before the incident, you would receive reimbursement based on the DEI and you would get all the DEUS in your LP immediatly.

For example: If you had 10k DEI (10k USDC) + 166 DEUS (10k USDC) in your LP before the incident, you would get either 60% USDC + 40% bDEI if you claim now, or 71% new DEI + 29% bDEI if you wait for DEI relaunch for the DEI you had and you would get 166 DEUS immediatly for the DEUS in your LP.

Support

We've set up a Discord channel for the discussion and refinement of the reimbursement process. Feel free to join and raise any questions or concerns.

Your trust in Deus remains our top priority, and we're dedicated to making this process as fair, transparent, and convenient as possible. We thank you for your patience and understanding throughout this process.

Best Regards, Lafayette