BIP002 Compensation proposal for loss in excess of equity in vault

As the price of MDX fell to $0.84 by 25% on Sep 26,2021, 4 leveraged positions were subject to wearing (i.e.the margin can’t cover the borrowing), resulting in a total loss of $27,213.9 USDT for gBUSD,gUSDT and gBNB in Bagels vault. Bagels Team decided to compensate the loss to the users who held gBNB,gUSDT,gBUSD.

Compensation: BAGEL airdrop worth of $27,213.9 USDT to wallet addresses of gBNB,gUSDT,gBUSD users.

At the BSC block height of 11,243,735, users with gBNB,gUSDT, and gBUSD can get the compensation for their wearing positions. After the user agrees to the (link) agreement and completes the snapshot manually, the compensation can be claimed on Bagels Claim interface after the snapshot period is over.

Snapshot BSC block height: position of gBNB,gUSDT,gBUSD on block height of 11,243,735. Compensation for loss from position wearing is distributed to the holders of gBNB,gUSDT,gBUSD in proportion to losses actually caused.

The following is the loss details of the three gToken vaults and the proportion of airdrop:

• The gBUSD of vault loss from wearing amount $22834.09. The gBUSD holders can be allocated 83.9% of BAGEL airdrop pool.
• The gUSDT of vault loss from wearing amount $3193.15. The gUSDT holders can be allocated 11.73% of BAGEL airdrop pool.
• The gBNB of vault loss from wearing amount $1186.66. The gBNB holders can be allocated 4.37% of BAGEL airdrop pool.

Users holding gBNB,gUSDT and gBUSD can vote in Bagels DAO Boardroom SnapShot and manually complete the SnapShot of gBNB,gUSDT,gBUSD positions at the same time to get BAGEL airdrop after the BIP002 proposal is passed.