I lost thousands of DAI in a hack on a staking platform. The platform is recompensing users with a two-year payback in their own token.
I need to do something so that my original loss is recognized, while the repayments are treated as something other than income with a zero cost basis.
How best to handle this?
-
Mark the original DAI as lost and the subsequent repayments as income.
-
Do not mark the DAI as lost and do not count the repayments as income. Treat it like a swap.
-
Treat each repayment as a trade, using a proportional amount of the original DAI
… any other ideas? Thanks,