edgeX has initiated payouts for users impacted by the June 2 EDGE token crash, offering half of the approved compensation immediately in USDC stablecoins. The derivatives exchange confirmed that eligible participants can now claim 50% of their verified losses through the platform’s rewards dashboard, with the remaining balance scheduled for distribution in April 2027 using native EDGE tokens.
The second tranche will be calculated based on a seven-day time-weighted average price of EDGE at the time of distribution. According to edgeX, these tokens will come from the Ecosystem and Community Allocation, which remains locked until after the token generation event and begins vesting on March 31, 2027. The final amount each user receives will depend on EDGE’s market price during that period.
To qualify, users must have experienced realized losses from long positions liquidated or stopped out on edgeX Perp V1 or V2 between 04:50 and 06:00 UTC+8 on June 2. Compensation excludes trading fees, funding costs, and unrealized profits, with a cap of 100,000 USDC equivalent per user across both payments. Those who haven’t yet filed a claim must submit a Discord ticket by June 9 at 14:00 UTC+8, as late submissions will forfeit eligibility for the goodwill program.
The platform stated that the initial sell-off involved 174 addresses placing large EDGE sell orders into a shallow PancakeSwap pool, dropping the token price by roughly 23% in under a minute. This triggered a cascade of forced liquidations across multiple exchanges, with edgeX reporting $140.66 million in combined sell volume from Binance, OKX, Bybit, and its own perpetual markets within one hour. The high concentration of long positions, with a 68.2% long-short ratio, exacerbated the downturn.
Blockchain investigator ZachXBT publicly questioned the platform’s explanation, suggesting insiders may have controlled a significant portion of the token supply and calling for transparency around market makers and related agreements. EdgeX denied any team involvement in the crash, stating that early reviews from exchanges and liquidity providers found no evidence of team-linked selling. It also announced a 200,000 USDC bounty for information leading to the identification of the wallets responsible for the initial dump.
Users who have already submitted claims can now access their first payment in USDC through the edgeX rewards page. The remaining half will be delivered in EDGE tokens during the first week of April 2027, using the token’s seven-day average price for calculation. The platform emphasized that the goodwill program is voluntary and does not constitute an admission of liability.