A leading decentralized exchange (DEX), Lighter, has announced comprehensive plans to compensate traders significantly impacted by a recent system outage. The move comes after a critical database failure locked users out of their accounts during a volatile market period, leading to substantial financial losses for thousands.
System Outage Causes Major Trader Losses
On October 10th, Lighter experienced a 4.5-hour downtime triggered by a database upgrade hiccup following a market crash. This critical outage prevented over 2,000 users from executing or exiting trades, resulting in heavy losses. A post-mortem revealed the severity of the incident, with 367 users losing over $10,000 each, and 38 individuals facing losses exceeding $100,000. Overall, 2,008 users experienced losses greater than $1,000, underscoring the widespread financial impact of the technical malfunction.
Lighter's Comprehensive Compensation Initiative
In response to the incident, Lighter has committed to fully compensating all affected traders. The repayment process is slated to begin on Monday, offering victims a combination of stablecoins and points. These points are specifically designed for farming Lighter's upcoming native token, providing an additional layer of value for those affected. This initiative highlights the platform's commitment to user trust and accountability, aiming to mitigate the financial damage and restore confidence among its user base.
