Can Hackers Be Saved? Pickle and Yearn Collaborate to Launch CORNICHON Token, Promising Compensation for Losses

DeFi prodigy Andre Cronje announced a new project yesterday, collaborating with the DeFi platform Pickle, which was hacked just last week. Yearn will integrate some of its products with Pickle and introduce a new token to compensate users for the losses incurred in the hack.

Delicious Vegetables in Salad - DILL

The DeFi platform Pickle offers various product categories: liquidity mining Farm, token exchange Swap, staking Stake, and also provides a financial strategy called Jar, which refers to pickling jars.

One of Jar's products, pDAI PickleJar, lost 19,759,355 DAI after being attacked on November 22. On the 24th, Andre Cronje announced a collaboration with Pickle to launch a new product - DILL.

It is an integration of financial strategy products from both platforms, where Pickle's Jar will be integrated into Yearn's vault. According to a simplified version of the document released by Andre Cronje, Pickle will introduce a Gauge that allows participants in the vault to earn tokens. This new token is called DILL, which means dill, a common vegetable in salads.

Further explanation reveals that participants in Yearn's vault can prove their shares in the vault with LP tokens, stake them in Pickle's Gauge, and earn PICKLE tokens. By locking in PICKLE tokens, they can receive the new token DILL, with a potential maximum of 2.5 times the amount owned.

As for Pickle users, they can lock in PICKLE tokens to gain governance voting rights and DILL tokens.

DILL itself also has sources of income, including fees from deposits and withdrawals in Gauge, smart contract fees, and strategy performance, all of which will be distributed to DILL holders.

A Turnaround for Pickle After the Hack?

Despite initial statements from Pickle officials that recovering the stolen funds was difficult and no debt tokens would be issued to compensate users for losses, Andre Cronje's plan includes a compensation scheme.

Andre Cronje stated that there will be a CORNICHON token, referencing the losses from the hack incident, to be distributed to victims. The implementation of this measure will depend on decisions made by Pickle's governance.

Implications for Pickle?

Users are most concerned about token prices. Following the hack, we saw PICKLE drop from 23 to 8 US dollars. However, after this announcement, the price briefly returned to 20 US dollars, and at the time of writing, it was around 16 US dollars.

Regarding the products, Andre Cronje highlighted many benefits for Pickle. He believes that the integration of Pickle with Yearn will help share development and cybersecurity expertise, the calculation of locked assets will be merged, Pickle can profit from users who join Pickle Gauge in Yearn, and developers and strategists from both sides can share in strategy performance.

Criticism: What's the Use of the PICKLE Token?

Twitter user ChainLinkGod.eth stated that in this collaborative product, the governance issues that the PICKLE token can address are only the issuance schedule and the cost of mining PICKLE. He mentioned that this is beneficial for Yearn users as they can earn PICKLE, but for users originally mining on Pickle, it may not be useful, serving only to slightly supplement their earnings and have an additional purpose in determining the token distribution schedule.