TechFlow reports that the Mango hacker claims approximately 70 million USDC in the Mango treasury can be used to repay bad debt.
If this proposal passes, MSOL, SOL, and MNGO from the account will be sent to addresses published by the Mango team. The Mango treasury will cover any remaining bad debt in the protocol, and users without bad debt will be unaffected. Any bad debt will be treated as a bug bounty/insurance payout, covered by the Mango insurance fund.
If Mango token holders approve this proposal through voting, they agree to pay the bounty and use the treasury to settle the bad debt, waiving any potential claims against the accounts with bad debt. Once tokens are frozen, no criminal investigation or fund freezing will occur.Original link
